LEASES (Tables)

9 Months Ended

Sep. 27, 2026

The components of lease expense for the three months ended September 27, 2026 and September 28, 2025 were as follows:


		Three Months Ended
Lease expense	Classification	September 27, 2026		September 28, 2025
Operating lease cost	Cost of sales or SM&A (1)	$	16,054	$	15,651
Finance lease cost:
Amortization of ROU assets	Depreciation and amortization (1)	2,196		1,896
Interest on lease liabilities	Interest expense, net	1,169		1,096
Net lease cost (2)		$	19,419	$	18,643

The components of lease expense for the nine months ended September 27, 2026 and September 28, 2025 were as follows:


		Nine Months Ended
Lease expense	Classification	September 27, 2026		September 28, 2025
Operating lease cost	Cost of sales or SM&A (1)	$	48,700	$	45,677
Finance lease cost:
Amortization of ROU assets	Depreciation and amortization (1)	6,656		6,248
Interest on lease liabilities	Interest expense, net	3,509		3,345
Net lease cost (2)		$	58,865	$	55,270

(1)Supply chain-related amounts were included in cost of sales.

(2)Net lease cost does not include short-term leases, variable lease costs or sublease income, all of which are immaterial.

Information regarding our lease terms and discount rates were as follows:


	September 27, 2026		December 31, 2025
Weighted-average remaining lease term (years)
Operating leases	10.1		10.2
Finance leases	24.0		25.2

Weighted-average discount rate
Operating leases	4.6	%	4.6	%
Finance leases	6.2	%	6.3	%

Supplemental balance sheet information related to leases were as follows:


Leases	Classification	September 27, 2026		December 31, 2025
Assets
Operating lease ROU assets	Other non-current assets	$	292,916	$	325,345

Finance lease ROU assets, at cost	Property, plant and equipment, gross	83,000		83,714
Accumulated amortization	Accumulated depreciation	(26,895)		(26,073)
Finance lease ROU assets, net	Property, plant and equipment, net	56,105		57,641

Total leased assets		$	349,021	$	382,986

Liabilities
Current
Operating	Accrued liabilities	$	51,336	$	49,583
Finance	Current portion of long-term debt	5,271		4,499
Non-current
Operating	Other long-term liabilities	252,276		285,925
Finance	Long-term debt	70,375		69,011
Total lease liabilities		$	379,258	$	409,018

The components of certain asset accounts included within our Consolidated Balance Sheets are as follows:


	September 27, 2026		December 31, 2025
Inventories:
Raw materials	$	768,778	$	762,391
Goods in process	321,512		294,374
Finished goods	1,213,704		1,074,690
Inventories at First In First Out	2,303,994		2,131,455
Adjustment to Last In First Out	(695,238)		(702,201)
Total inventories	$	1,608,756	$	1,429,254

Prepaid expenses and other:
Prepaid expenses	$	141,066	$	201,527

Other current assets	322,526		302,712
Total prepaid expenses and other	$	463,592	$	504,239

Property, plant and equipment:
Land	$	197,041	$	199,559
Buildings	2,127,584		2,102,794
Machinery and equipment	4,604,471		4,515,447
Construction in progress	371,524		324,998
Property, plant and equipment, gross	7,300,620		7,142,798
Accumulated depreciation	(3,803,904)		(3,613,190)
Property, plant and equipment, net	$	3,496,716	$	3,529,608

Other non-current assets:
Pension	$	70,391	$	64,520
Capitalized software, net	320,282		351,285

Operating lease ROU assets	292,916		325,345
Investments in unconsolidated affiliates	169,392		176,567
Other non-current assets	245,111		205,568
Total other non-current assets	$	1,098,092	$	1,123,285


The components of certain liability and stockholders’ equity accounts included within our Consolidated Balance Sheets are as follows:
	September 27, 2026		December 31, 2025
Accounts payable:
Accounts payable—trade	$	961,870	$	831,204
Supplier finance program obligations	319,735		300,332
Other	133,258		124,165
Total accounts payable	$	1,414,863	$	1,255,701

Accrued liabilities:
Payroll, compensation and benefits	$	261,831	$	311,241
Advertising, promotion and product allowances	453,021		373,940
Operating lease liabilities	51,336		49,583

Other	283,445		235,833
Total accrued liabilities	$	1,049,633	$	970,597

Other long-term liabilities:
Post-retirement benefits liabilities	$	93,389	$	98,101
Pension benefits liabilities	38,839		42,987
Operating lease liabilities	252,276		285,925
Other	241,841		304,904
Total other long-term liabilities	$	626,345	$	731,917

Accumulated other comprehensive loss:
Foreign currency translation adjustments	$	(137,819)	$	(136,508)
Pension and post-retirement benefit plans, net of tax	(94,755)		(107,620)
Cash flow hedges, net of tax	3,279		(3,222)
Total accumulated other comprehensive loss	$	(229,295)	$	(247,350)

The maturities of our lease liabilities as of September 27, 2026 were as follows:

The maturities of our lease liabilities as of September 27, 2026 were as follows:

Supplemental cash flow and other information related to leases were as follows:


	Nine Months Ended
	September 27, 2026		September 28, 2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	48,269	$	43,965
Operating cash flows from finance leases	3,509		3,345
Financing cash flows from finance leases	4,799		4,595

ROU assets obtained in exchange for lease liabilities:
Operating leases	$	5,686	$	33,158
Finance leases	7,033		62