Brazil Transaction: During the third quarter of fiscal year 2026, the Company entered into a definitive agreement for the sale of its operations in Brazil, operated under the Ceratti® brand, to Zanchetta Alimentos LTDA. Accordingly, the assets and liabilities associated with the Brazil business were classified as held for sale as of July 26, 2026. The Company recognized a non-cash, pre-tax valuation loss of $56.1 million to value the disposal group at its fair value less costs to sell, which includes the impact of accumulated foreign currency translation losses that will be recognized in earnings upon sale. The valuation loss reduced the value of Assets Held for Sale and was recorded in Selling, General, and Administrative.


In thousands	July 26, 2026
Cash and Cash Equivalents	$	4,457
Accounts and Other Receivables, Net	13,269
Inventories	6,898
Taxes Receivable	742
Prepaid Expenses and Other Current Assets	6,422
Goodwill	4,470
Intangible Assets	9,804

Other Assets	11,562
Property, Plant, and Equipment, Net	9,183
Gross Assets Held for Sale	66,807
Reserve for Assets Held for Sale	(56,149)
Assets Held for Sale	$	10,659

Accounts Payable	$	6,414
Accrued Expenses	3,661

Employee-related Expenses	2,734
Taxes Payable	988


Pension and Postretirement Benefits	1,378
Deferred Income Taxes	3,363
Other Long-term Liabilities	8,944
Liabilities Held for Sale	$	27,483

The Brazil divestiture was finalized on July 31, 2026, subsequent to the end of the third quarter. The Company received cash proceeds of $22.1 million from the sale, and expects the reserve for assets held for sale recognized as of July 26, 2026 to materially represent the loss on the sale. Results of operations for the Brazil business were reflected in the International segment.

Whole-bird Turkey Transaction: On April 24, 2026, the Company completed the sale of its whole-bird turkey business to Willmar Poultry Innovations, LLC, a subsidiary of Life-Science Innovations, for $61.2 million including cash proceeds of $21.2 million and a secured promissory note with a face value of $40.0 million. Refer to Note F - Notes Receivable for additional information on the secured promissory note. The divestiture resulted in a pre-tax loss of $60.8 million, including transaction costs, which was recognized in Selling, General, and Administrative.

The sale included the whole-bird production facility in Melrose, Minnesota, a feed mill in Swanville, Minnesota, and associated transportation assets. The Company continues to own and use the Jennie-O® brand name. The buyer has assumed certain supply contracts with dedicated third-party hen growers and is contracted to provide co-manufacturing services to the Company in the future. There was a nominal impact to the Company's future commitments. Results of operations for the whole-bird turkey business were primarily reflected in the Retail segment.

Justin's, LLC Transaction: On December 15, 2025, the Company sold 51% of its equity interest in Justin's, LLC and related assets to Forward Consumer Partners, LLC for cash proceeds of $75.8 million. As a result of the transaction, the Company no longer holds a controlling financial interest in Justin's, LLC, resulting in deconsolidation. The sale resulted in a pre-tax gain of $22.0 million, which was recognized in Selling, General, and Administrative. Results of operations for Justin's, LLC were primarily reflected in the Retail segment prior to deconsolidation.

The Company maintained the ability to exercise significant influence over the entity in its new structure, Joy Topco, L.P., and will account for this interest as an equity method investment. The Company recorded the remaining 49% equity interest in Joy Topco, L.P. at its estimated fair value of $46.3 million plus $1.1 million in capitalized deal costs in Investment in Affiliates. The Company engaged a third-party specialist to assist with the valuation, which reflected a combination of observable data and significant unobservable, or Level 3, inputs to determine the estimated fair value of the investment. Results of Joy Topco, L.P. are reported as Equity in Earnings of Affiliates within the Retail segment. See Note D - Investments in Affiliates for additional information.

Mountain Prairie, LLC Divestiture: On November 18, 2024, the Company sold its equity interests in a non-core sow operation, Mountain Prairie, LLC, and related assets to Chaparral Ranches, LLC for cash proceeds of $13.6 million. The divestiture resulted in a pre-tax loss of $11.3 million, including transaction costs, which was recognized in Selling, General, and Administrative. Results of operations for Mountain Prairie, LLC were primarily reflected within the Retail segment through the date of divestiture.