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OFFON

ALBERTSONS COMPANIES, INC.

(ACI)
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ALBERTSONS : Management's Discussion and Analysis of Financial Condition and Results of Operations (form 10-Q)

07/29/2021 | 04:24pm EDT

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS


This Quarterly Report contains forward-looking statements. All statements other
than statements of historical facts contained in this Quarterly Report,
including statements regarding our future operating results and financial
position, business strategy and plans and objectives of management for future
operations, are forward-looking statements. In many cases, you can identify
forward-looking statements by terms such as "may," "should," "expects," "plans,"
"anticipates," "could," "intends," "target," "projects," "contemplates,"
"believes," "estimates," "predicts," "potential," or "continue" or the negative
of these terms or other similar expressions. Forward-looking statements are
based on our current expectations and assumptions about market conditions and
our future operating performance which the Company believes to be reasonable at
this time. The Company's results may vary significantly from quarter to quarter,
and these expectations and assumptions involve risks and uncertainties,
including changes in macroeconomic conditions and the Company's industry,
failure to achieve anticipated synergies and cost-savings, increased rates of
food price inflation or deflation and other factors, that could cause actual
results or events to be materially different from those anticipated. These risks
and uncertainties that could cause actual results to differ materially from
those expressed or implied in the forward-looking statements include those
related to the COVID-19 pandemic, about which there are still many unknowns,
including the duration of the pandemic and the extent of its impact. The Company
undertakes no obligation to update or revise any such statements as a result of
new information, future events or otherwise. We may not actually achieve the
plans, intentions or expectations disclosed in our forward-looking statements,
and you should not place undue reliance on our forward-looking statements. Our
forward-looking statements do not reflect the potential impact of any future
acquisitions, mergers, dispositions, joint ventures or investments we may make.

As used in this Form 10-Q, unless the context otherwise requires, references to
"Albertsons," the "Company," "we," "us" and "our" refer to Albertsons Companies,
Inc. and, where appropriate, its subsidiaries.

NON-GAAP FINANCIAL MEASURES


We define EBITDA as generally accepted accounting principles ("GAAP") earnings
(net loss) before interest, income taxes, depreciation and amortization. We
define Adjusted EBITDA as earnings (net loss) before interest, income taxes,
depreciation and amortization, further adjusted to eliminate the effects of
items management does not consider in assessing our ongoing core performance. We
define Adjusted net income as GAAP Net income adjusted to eliminate the effects
of items management does not consider in assessing our ongoing core performance.
We define Adjusted net income per Class A common share as Adjusted net income
divided by the weighted average diluted Class A common shares outstanding, as
adjusted to reflect all restricted stock units ("RSUs") and restricted common
stock ("RSAs") outstanding at the end of the period. We define Net Debt as total
debt (which includes finance lease obligations and is net of deferred financing
costs and original issue discount) minus unrestricted cash and cash equivalents
and we define Net Debt Ratio as the ratio of Net Debt to Adjusted EBITDA for the
rolling 52 or 53 week period. See "Results of Operations" for further discussion
and a reconciliation of Adjusted EBITDA, Adjusted net income and Adjusted net
income per Class A common share.

EBITDA, Adjusted EBITDA, Adjusted net income and Adjusted net income per Class A
common share (collectively, the "Non-GAAP Measures") are performance measures
that provide supplemental information we believe is useful to analysts and
investors to evaluate our ongoing results of operations, when considered
alongside other GAAP measures such as Net income, operating income and gross
profit. These Non-GAAP Measures exclude the financial impact of items management
does not consider in assessing our ongoing core operating performance, and
thereby provide useful measures to analysts and investors of our operating
performance on a period-to-period basis. Other companies may have different
definitions of Non-GAAP Measures and provide for different
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adjustments, and comparability to our results of operations may be impacted by
such differences. We also use Adjusted EBITDA and Net Debt Ratio for board of
director and bank compliance reporting. Our presentation of Non-GAAP Measures
should not be construed as an inference that our future results will be
unaffected by unusual or non-recurring items.

Non-GAAP Measures should not be considered as measures of discretionary cash
available to us to invest in the growth of our business. We compensate for these
limitations by relying primarily on our GAAP results and using Non-GAAP Measures
only for supplemental purposes.

FIRST QUARTER OF FISCAL 2021 OVERVIEW


Given the significant variations that occurred in our business during fiscal
2020 due to the COVID-19 pandemic, we provide a supplemental comparison of the
16 weeks ended June 19, 2021 ("first quarter of fiscal 2021") to the 16 weeks
ended June 15, 2019 ("first quarter of fiscal 2019") for certain financial
measures to demonstrate the two-year growth in our business in addition to
comparisons to the 16 weeks ended June 20, 2020 ("first quarter of fiscal
2020").

As of June 19, 2021, we operated 2,278 retail food and drug stores with 1,725
pharmacies, 399 associated fuel centers, 22 dedicated distribution centers and
20 manufacturing facilities. We continue to make significant progress against
all of our strategic priorities, including in-store excellence, accelerating our
digital and omni-channel capabilities, driving productivity and strengthening
our talent and culture. Identical sales decreased 10.0%, excluding fuel, during
the first quarter of fiscal 2021, resulting in two-year stacked identical sales
growth of 16.5%. Underscoring our strong omni-channel capabilities that allow
customers to complete their shopping with us in any way they want, our digital
initiatives continue to resonate with our customers, as evidenced by our
sustained sales levels in the first quarter of fiscal 2021 with digital sales
flat compared to the first quarter of fiscal 2020 and a two-year stacked growth
of 276%. During the first quarter of fiscal 2021, we expanded our Drive Up & Go
curbside pickup service to 1,740 locations and offer delivery services across
more than 2,000 of our stores. In our delivery service, we have expanded first
party locations, and continue to work with third party services to engage with
customers on the platform of their choice. In addition to our continuing
partnership with Instacart, we have expanded our partnership with DoorDash to
offer on-demand grocery delivery service where customers can receive a broad
assortment in under one hour. We also recently launched a similar partnership
with Uber, where customers can order a full assortment of groceries on the Uber
platform.

We continue to achieve significant success with members in our just for U
loyalty program, which drives higher sales and customer retention, with
participation growing 18% compared to the first quarter of fiscal 2020, reaching
26.7 million members. Our Own Brands products resonate well with our customers
as evidenced by increased sales penetration of Own Brands by 100 basis points to
25.2% compared to the first quarter of fiscal 2020. Own Brands continues to
deliver on innovation with more than 300 new items launched in the first quarter
of fiscal 2021. During the first quarter of fiscal 2021, we made significant
progress on productivity initiatives, including labor efficiency, shrink,
promotional effectiveness and purchasing and procurement.

Our capital allocation strategy balances investing for the future, strengthening
our balance sheet and returns to shareholders through a combination of dividends
and opportunistic share repurchases. Capital expenditures were approximately
$513 million during the first quarter of fiscal 2021 as we opened five new
stores and completed 33 upgrades and remodels. Our balance sheet remains strong
with a Net Debt Ratio of 1.5x as of the end of the first quarter of fiscal 2021.
Capital returns to shareholders in the first quarter of fiscal 2021 included our
$0.10 per share quarterly dividend.

In addition, during the first quarter of fiscal 2021, our Nourishing Neighbors
fundraising drive raised approximately $9 million from our customers at our
check stands, which was matched by the Albertsons Companies Foundation,
resulting in approximately $18 million in funds to feed children and families.
We have also been partnering with the
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Department of Health and Human Services and local health authorities to administer COVID-19 vaccines to our local communities and, as of July 28, 2021, have administered approximately 6 million doses.

First quarter of fiscal 2021 highlights


In summary, our financial and operating highlights for the first quarter of
fiscal 2021 include:
•Identical sales decrease of 10.0%; two-year identical sales stacked growth of
16.5%
•Sustained digital sales levels; on a two-year stacked basis digital sales
growth was 276%
•Net income of $445 million, or $0.78 per Class A common share
•Adjusted net income of $518 million, or $0.89 per Class A common share
•Adjusted EBITDA of $1,308 million
•Opened five new stores and completed 33 remodel projects
•Launched 320 new Drive Up & Go locations and one micro-fulfillment center

Stores


The following table shows stores operating, acquired, opened and closed during
the periods presented:
                                           16 weeks ended
                                                       June 19,      June 20,
                                                         2021          2020
Stores, beginning of period                              2,277       2,252
Acquired (1)                                                 1           -
Opened                                                       5           -
Closed                                                      (5)          -
Stores, end of period                                    2,278       2,252


(1) The 16 weeks ended June 19, 2021 includes one store acquired from Kings and
Balducci's that transferred to us subsequent to the end of the fourth quarter of
fiscal 2020.
The following table summarizes our stores by size:
                                          Number of stores                               Percent of Total                              Retail Square Feet (1)
                                  June 19,                 June 20,              June 19,               June 20,                June 19,                     June 20,
Square Footage                      2021                     2020                  2021                   2020                    2021                         2020
Less than 30,000                       223                      204                    9.8  %                  9.1  %                5.1                          4.7
30,000 to 50,000                       786                      783                   34.5  %                 34.7  %               32.9                         32.9
More than 50,000                     1,269                    1,265                   55.7  %                 56.2  %               75.0                         74.7
Total Stores                         2,278                    2,252                  100.0  %                100.0  %              113.0                        112.3

(1) In millions, reflects total square footage of retail stores operating at the end of the period.


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RESULTS OF OPERATIONS

Comparison of First Quarter of Fiscal 2021 to First Quarter of Fiscal 2020:


The following table and related discussion set forth certain information and
comparisons regarding the components of our Condensed Consolidated Statements of
Operations for the first quarter of fiscal 2021 and the first quarter of fiscal
2020 (in millions, except per share data).
                                                                                16 weeks ended
                                                 June 19,                                    June 20,
                                                   2021               % of Sales               2020               % of Sales
Net sales and other revenue                    $ 21,269.4                   100.0  %       $ 22,751.6                   100.0  %
Cost of sales                                    15,078.4                    70.9            15,980.1                    70.2
Gross profit                                      6,191.0                    29.1             6,771.5                    29.8
Selling and administrative expenses               5,503.6                    25.9             5,769.4                    25.4
Loss on property dispositions and impairment
losses, net                                           0.3                       -                30.3                     0.1

Operating income                                    687.1                     3.2               971.8                     4.3
Interest expense, net                               153.3                     0.7               180.6                     0.8

Other (income) expense, net                         (43.5)                   (0.2)                3.1                       -
Income before income taxes                          577.3                     2.7               788.1                     3.5
Income tax expense                                  132.5                     0.6               201.9                     0.9
Net income                                     $    444.8                     2.1  %       $    586.2                     2.6  %

Basic net income per Class A common share      $     0.80                                  $     1.03
Diluted net income per Class A common share          0.78                                        1.00



Net Sales and Other Revenue
Net sales and other revenue decreased 6.5% to $21,269.4 million for the first
quarter of fiscal 2021 from $22,751.6 million for the first quarter of fiscal
2020. The decrease in Net sales and other revenue was primarily driven by our
10.0% decrease in identical sales, driven by significantly elevated demand at
the onset of the COVID-19 pandemic in the first quarter of fiscal 2020 and
partially offset by an increase in pharmacy sales, primarily from administering
COVID-19 vaccines. The decrease in Net sales and other revenue was also
partially offset by $460.1 million in higher fuel sales.

Identical Sales, Excluding Fuel


Identical sales include stores operating during the same period in both the
current year and the prior year, comparing sales on a daily basis. Direct to
consumer digital sales are included in identical sales, and fuel sales are
excluded from identical sales. Acquired stores become identical on the one-year
anniversary date of the acquisition. Identical sales for the 16 weeks ended
June 19, 2021 and the 16 weeks ended June 20, 2020, respectively, were:
                                                 16 weeks ended
                                                             June 19,      June 20,
                                                               2021          2020
Identical sales, excluding fuel                              (10.0)%        

26.5%




The decrease in identical sales for the first quarter of fiscal 2021 was a
direct result of significant demand at the onset of the COVID-19 pandemic during
the first quarter of fiscal 2020. Though our identical sales decreased in the
first quarter of fiscal 2021, we retained market share gains compared to
pre-pandemic levels.

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Gross Profit

Gross profit represents the portion of Net sales and other revenue remaining
after deducting Cost of sales during the period, including purchase and
distribution costs. These costs include, among other things, purchasing and
sourcing costs, inbound freight costs, product quality testing costs, warehouse
and distribution costs, Own Brands program costs and digital-related delivery
and handling costs. Advertising, promotional expenses and vendor allowances are
also components of Cost of sales.

Gross profit margin decreased to 29.1% during the first quarter of fiscal 2021
compared to 29.8% during the first quarter of fiscal 2020. Excluding the impact
of fuel, gross profit margin increased 10 basis points compared to the first
quarter of fiscal 2020. The increase in gross profit margin was primarily driven
by improved pharmacy margins related to administering COVID-19 vaccines,
productivity initiatives related to optimization of promotions, growth in Own
Brands penetration and lower COVID-19 related costs, partially offset by the
sales deleverage.

Selling and Administrative Expenses

Selling and administrative expenses consist primarily of store level costs, including wages, employee benefits, rent, depreciation and utilities, in addition to certain back-office expenses related to our corporate and division offices.


Selling and administrative expenses increased to 25.9% of Net sales and other
revenue during the first quarter of fiscal 2021 compared to 25.4% of Net sales
and other revenue for the first quarter of fiscal 2020. Excluding the impact of
fuel, Selling and administrative expenses as a percentage of Net sales and other
revenue increased 115 basis points during the first quarter of fiscal 2021
compared to the first quarter of fiscal 2020. The increase in Selling and
administrative expenses as a percentage of Net sales and other revenue was
primarily attributable to the sales deleverage, including employee wage and
benefit costs, depreciation and amortization and rent and occupancy costs. The
increase was partially offset by benefits related to the execution of our
productivity initiatives and lower COVID-19 related costs.

Loss on Property Dispositions and Impairment Losses, Net


For the first quarter of fiscal 2021, net loss on property dispositions and
impairment losses was $0.3 million, primarily driven by $9.9 million of asset
impairments, primarily related to right-of-use assets, partially offset by $9.6
million of gains from the sale of real estate assets. For the first quarter of
fiscal 2020, net loss on property dispositions and impairment losses was $30.3
million, primarily driven by $21.1 million of asset impairments, primarily
related to right-of-use assets, and $9.2 million of losses from the sale of real
estate assets.

Interest Expense, Net

Interest expense, net was $153.3 million during the first quarter of fiscal 2021
compared to $180.6 million during the first quarter of fiscal 2020. The decrease
in interest expense was primarily attributable to lower average outstanding
borrowings and lower average interest rates. The weighted average interest rate
during the first quarter of fiscal 2021 was 5.6%, excluding amortization and
write-off of deferred financing costs and original issue discount, compared to
6.0% during the first quarter of fiscal 2020.

Other (Income) Expense, Net


For the first quarter of fiscal 2021, other income, net was $43.5 million
compared to other expense, net of $3.1 million for the first quarter of fiscal
2020. Other income, net during the first quarter of fiscal 2021 was primarily
driven by realized gains from non-operating investments, non-service cost
components of net pension and post-retirement expense and income related to our
equity investment, partially offset by unrealized losses from non-operating
investments. Other expense, net during the first quarter of fiscal 2020 was
primarily driven by recognized
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losses on interest rate swaps and unrealized losses from non-operating investments, partially offset by income from non-service cost components of net pension and post-retirement expense.

Income Taxes


Income tax expense was $132.5 million, representing a 23.0% effective tax rate,
for the first quarter of fiscal 2021. Income tax expense was $201.9 million,
representing a 25.6% effective tax rate, for the first quarter of fiscal 2020.
The decrease in the effective income tax rate was primarily driven by the
recognition of certain discrete state income tax benefits during the first
quarter of fiscal 2021. We expect our annual effective tax rate for fiscal 2021
to be approximately 25%.

Net Income and Adjusted Net Income


Net income was $444.8 million, or $0.78 per Class A common share, during the
first quarter of fiscal 2021 compared to $586.2 million, or $1.00 per Class A
common share, during the first quarter of fiscal 2020. Adjusted net income was
$517.5 million, or $0.89 per Class A common share, during the first quarter of
fiscal 2021 compared to $801.2 million, or $1.35 per Class A common share,
during the first quarter of fiscal 2020.

Adjusted EBITDA


For the first quarter of fiscal 2021, Adjusted EBITDA was $1,308.1 million, or
6.2% of Net sales and other revenue, compared to $1,691.0 million, or 7.4% of
Net sales and other revenue, for the first quarter of fiscal 2020.

Supplemental Two-Year Results - Comparison of First Quarter of Fiscal 2021 to First Quarter of Fiscal 2019


The following table provides a comparison of the first quarter of fiscal 2021 to
the first quarter of fiscal 2019 for certain financial measures, including a
compounded annual growth rate ("CAGR"), to demonstrate the two-year growth in
our business. We believe these supplemental comparisons provide meaningful and
useful information to investors about the trends in our business relative to
pre-COVID-19 pandemic periods. These comparisons should not be reviewed in
isolation or considered substitutes for our financial results included elsewhere
in this Form 10-Q.
                                                                       First Quarter of Fiscal 2021
                                                                      Supplemental Two-Year Results
Identical sales two-year stacked (1)                                                            16.5  %

Net income per Class A common share two-year CAGR                                              212.2  %

Adjusted net income per Class A common share two-year CAGR                                      72.2  %
Net income two-year CAGR                                                                       201.3  %
Adjusted EBITDA two-year CAGR                                                                   22.1  %

Margins:

Gross profit (1)                                                              Increased 90 basis points
Selling and administrative expenses (1)                                       Decreased 75 basis points


(1) Excluding fuel

Net sales and other revenue was $21.3 billion during the first quarter of fiscal
2021 compared to $18.7 billion during the first quarter of fiscal 2019. The
increase in sales compared to the first quarter of 2019 is primarily due to the
16.5% increase in two-year stacked identical sales. Identical sales were driven
in part by the 276% two-year stacked increase in digital sales.
Gross profit margin was 29.1% during the first quarter of fiscal 2021 compared
to 28.0% during the first quarter of fiscal 2019. Excluding the impact of fuel,
gross profit margin increased by approximately 90 basis points compared
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to the first quarter of fiscal 2019, primarily driven by improvements in shrink
expense, productivity initiatives, sales leverage and improved pharmacy margins
related to administering COVID-19 vaccines, partially offset by our growth in
digital sales and incremental COVID-19 expenses.
Selling and administrative expenses were 25.9% of sales during the first quarter
of fiscal 2021 compared to 26.4% of sales for the first quarter of fiscal 2019.
Excluding the impact of fuel, selling and administrative expenses as a
percentage of sales decreased 75 basis points primarily due to sales leverage
and the execution of our productivity initiatives, partially offset by
incremental COVID-19 expenses.

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Reconciliation of Non-GAAP Measures


The following tables reconcile Net income to Adjusted net income, and Net income
per Class A common share to Adjusted net income per Class A common share (in
millions, except per share data):
                                                                              16 weeks ended
                                                          June 19,             June 20,            June 15, 2019
                                                            2021                 2020              Supplemental
Numerator:

Net income                                              $    444.8          $     586.2          $         49.0
Adjustments:
(Gain) loss on interest rate and commodity hedges, net
(d)                                                           (6.3)                24.5                     0.3
Facility closures and transformation (1)(b)                   20.8                  9.8                       -
Acquisition and integration costs (2)(b)                       3.5                  6.3                    26.1
Equity-based compensation expense (b)                         22.2                 19.0                    11.1

Loss (gain) on property dispositions and impairment losses, net

                                                    0.3                 30.3                   (28.5)
LIFO expense (a)                                              14.5                 13.1                    10.5
Discretionary COVID-19 pandemic related costs (3)(b)             -                 89.9                       -
Government-mandated incremental COVID-19 pandemic
related pay (4)(b)                                            29.1                    -                       -
Civil disruption related costs (5)(b)                            -                 14.9                       -

Transaction and reorganization costs related to convertible preferred stock issuance and initial public offering (b)

                                                     -                 20.3                       -

Amortization of debt discount and deferred financing costs (c)

                                                      6.4                  6.5                     8.4
Loss on debt extinguishment                                      -                    -                    42.7
Amortization of intangible assets resulting from
acquisitions (b)                                              16.1                 17.5                    92.8

Miscellaneous adjustments (6)(f)                             (10.8)                34.1                     8.8
Tax impact of adjustments to Adjusted net income             (23.1)               (71.2)                  (44.6)
Adjusted net income                                     $    517.5          $     801.2          $        176.6

Denominator:

Weighted average Class A common shares outstanding - diluted

                                                      571.4                583.7                   579.4

Adjustments:


Restricted stock units and awards (7)                          9.4                  8.2                     9.5
Adjusted weighted average Class A common shares
outstanding - diluted                                        580.8                591.9                   588.9

Adjusted net income per Class A common share - diluted  $     0.89          $      1.35          $         0.30

Supplemental Two-Year CAGR:
Net income two-year CAGR                                     201.3  %



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                                                                         16 weeks ended
                                                      June 19,             June 20,            June 15, 2019
                                                        2021                 2020              Supplemental

Net income per Class A common share - diluted $ 0.78 $

1.00 $ 0.08


Non-GAAP adjustments (8)                                  0.13                 0.37                    0.22
Restricted stock units and awards (7)                    (0.02)               (0.02)                      -
Adjusted net income per Class A common share -
diluted                                            $      0.89          $   

1.35 $ 0.30


Supplemental Two-Year CAGR:
Net income per Class A common share two-year CAGR        212.2  %
Adjusted net income per Class A common share
two-year CAGR                                             72.2  %



The following table is a reconciliation of Adjusted net income to Adjusted
EBITDA:
                                                                        16 weeks ended
                                                     June 19,            June 20,            June 15, 2019
                                                       2021                2020              Supplemental
Adjusted net income (9)                            $    517.5          $    801.2          $        176.6
Tax impact of adjustments to Adjusted net income         23.1                71.2                    44.6
Income tax expense                                      132.5               201.9                    15.7
Amortization of debt discount and deferred
financing costs (c)                                      (6.4)               (6.5)                   (8.4)
Interest expense, net                                   153.3               180.6                   225.2
Amortization of intangible assets resulting from
acquisitions (b)                                        (16.1)              (17.5)                  (92.8)
Depreciation and amortization (e)                       504.2               460.1                   515.9
Adjusted EBITDA                                    $  1,308.1          $  

1,691.0 $ 876.8


Supplemental Two-Year CAGR:
Adjusted EBITDA two-year CAGR                            22.1  %


(1) Includes costs related to closures of operating facilities and third-party
consulting fees related to our strategic priorities and associated business
transformation.
(2) Related to conversion activities and related costs associated with
integrating acquired businesses. Also includes expenses related to management
fees in prior periods paid in connection with acquisition and financing
activities.
(3) Includes $53 million of charitable contributions to our communities for
hunger relief and $36.9 million in final reward payments to front-line
associates at the end of the first quarter of fiscal 2020.
(4)  Represents incremental pay that is legislatively required in certain
municipalities in which we operate.
(5) Primarily includes costs related to store damage, inventory losses and
community support as a result of the civil disruption during late May 2020 and
early June 2020 in certain markets.
(6) Miscellaneous adjustments include the following (see table below):

                                                                           16 weeks ended
                                                        June 19,             June 20,            June 15, 2019
                                                          2021                 2020              Supplemental
Non-cash lease-related adjustments                   $       2.1          $ 

2.0 $ 1.9 Lease and lease-related costs for surplus and closed stores

                                                      10.2                 18.7                     6.8

Net realized and unrealized (gain) loss on
non-operating investments                                  (22.5)                 4.5                    (3.3)

Other (i)                                                   (0.6)                 8.9                     3.4
Total miscellaneous adjustments                      $     (10.8)         $ 

34.1 $ 8.8



(i) Primarily includes adjustments for unconsolidated equity investments and
certain contract termination costs.
(7) Represents incremental unvested RSUs and unvested RSAs to adjust the diluted
weighted average Class A common shares outstanding during each respective period
to the fully outstanding RSUs and RSAs as of the end of each respective period.
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(8) Reflects the per share impact of Non-GAAP adjustments for each period. See
the reconciliation of Net income to Adjusted net income above for further
details.
(9) Reflects the impact of Non-GAAP adjustments for each period presented. See
the reconciliation of Net income to Adjusted net income above for further
details.
Non-GAAP adjustment classifications within the Consolidated Statement of
Operations:
(a) Cost of sales
(b) Selling and administrative expenses
(c) Interest expense, net
(d) (Gain) loss on interest rate and commodity hedges, net:
                                                                       16 weeks ended
                                                    June 19,             June 20,            June 15, 2019
                                                      2021                 2020              Supplemental
Cost of sales                                    $      (6.6)         $       5.5          $          0.3
Other (income) expense, net                              0.3                 19.0                       -
Total (Gain) loss on interest rate and commodity
hedges, net                                      $      (6.3)         $      24.5          $          0.3


(e) Depreciation and amortization:

                                                      16 weeks ended
                                        June 19,      June 20,      June 15, 2019
                                          2021          2020         Supplemental
Cost of sales                          $   50.8      $   54.0      $         52.0
Selling and administrative expenses       453.4         406.1               

463.9

Total Depreciation and amortization $ 504.2 $ 460.1 $ 515.9

(f) Miscellaneous adjustments:

                                                      16 weeks ended
                                        June 19,      June 20,       June 15, 2019
                                          2021          2020          Supplemental

Selling and administrative expenses $ 6.8 $ 24.8 $

7.1

Other (income) expense, net               (17.6)           9.3              

1.7

Total Miscellaneous adjustments $ (10.8) $ 34.1 $

8.8

© Edgar Online, source Glimpses

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