Overview


Description of the Company:
We manufacture and market food and beverage products, including condiments and
sauces, cheese and dairy, meals, meats, refreshment beverages, coffee, and other
grocery products throughout the world.
We manage and report our operating results through three reportable segments
defined by geographic region: United States, International, and Canada.
See Note 17, Segment Reporting, in Item 1, Financial Statements, for our
financial information by segment.
Items Affecting Comparability of Financial Results
Impairment Losses:
Our results of operations reflect goodwill impairment losses of $265 million and
intangible asset impairment losses of $78 million for the six months ended
June 26, 2021 compared to goodwill impairment losses of $2.0 billion and
intangible asset impairment losses of $1.1 billion for the six months ended
June 27, 2020. See Note 8, Goodwill and Intangible Assets, in Item 1, Financial
Statements, for additional information on these impairment losses
COVID-19 Impacts:
We have been actively monitoring the impact of COVID-19 on our business. In the
first half of 2020, particularly in March and April 2020, we experienced
consolidated net sales growth as higher demand for our retail products more than
offset declines in our foodservice business. In the first half of 2021, we
continued to experience strong retail demand compared to pre-pandemic periods.
However, retail consumption declined when compared to the first half of 2020
based on the strong consumer demand early on in the COVID-19 pandemic,
particularly in March and April 2020. In the second quarter of 2021, our
foodservice business experienced increased consumer demand compared to the
comparable prior year period, which was negatively impacted by the COVID-19
pandemic. We continue to see decreased foodservice demand compared to
pre-pandemic periods. COVID-19 and its impacts are unprecedented and
continuously evolving, and the long-term impacts to our financial condition and
results of operations are still uncertain.
See Liquidity and Capital Resources for additional information related to the
impact of COVID-19 on our overall results. For information related to the impact
of COVID-19 on our segment results see Results of Operations by Segment.
Results of Operations
We disclose in this report certain non-GAAP financial measures. These non-GAAP
financial measures assist management in comparing our performance on a
consistent basis for purposes of business decision-making by removing the impact
of certain items that management believes do not directly reflect our underlying
operations. For additional information and reconciliations from our condensed
consolidated financial statements see Non-GAAP Financial Measures.
Consolidated Results of Operations
Summary of Results:

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