RESTRUCTURING-RELATED ACTIVITIES (Tables)

6 Months Ended

Jun. 29, 2025

Restructuring and Related Activities [Abstract]

Schedule of Restructuring and Related Costs

The following table provides a summary of our estimates of timelines and costs associated with these restructuring initiatives by major type of cost:


	Pilgrim’s Food Masters 2024		Pilgrim’s Europe Central		Total
	(In thousands)
Earliest implementation date	April 2024		January 2024
Expected predominant completion date	March 2025		June 2025
Costs incurred and expected to be incurred
Employee-related costs	$	19,848	$	52,191	$	72,039
Asset impairment costs	10,887		1,852		12,739
Contract termination costs	855		1,747		2,602
Other exit and disposal costs (a)	9,869		4,221		14,090
Total exit and disposal costs (b)	$	41,459	$	60,011	$	101,470
Costs incurred since earliest implementation date
Employee-related costs	$	19,848	$	43,423	$	63,271
Asset impairment costs	10,887		1,852		12,739
Contract termination costs	855		1,747		2,602
Other exit and disposal costs (a)	9,869		4,221		14,090
Total exit and disposal costs (b)	$	41,459	$	51,243	$	92,702

(a)Comprised of other costs directly related to the restructuring initiatives including flock depletion, the write-off of prepaid maintenance costs, consulting fees, and costs to return leased assets to original configuration.

(b)All costs, except for asset impairment costs, are estimated to result in cash outlays.

During the six months ended June 29, 2025, the Company recognized the following expenses and paid the following cash related to each restructuring initiative:


	Expenses		Cash Outlays
	(In thousands)
Pilgrim’s Food Masters 2024	$	724	$	5,192
Pilgrim’s Europe Central	18,550		15,099
Prior programs substantially complete	837		2,385
Total	$	20,111	$	22,676

Schedule of Restructuring Reserve

The following table reconciles liabilities and reserves associated with each restructuring initiative during the six months ended June 29, 2025. Ending liability balances for employee termination benefits and other charges are reported in the line item Accrued expenses and other current liabilities in our Condensed Consolidated Balance Sheets. The ending reserve balance for inventory adjustments is reported in the line item Inventories in our Condensed Consolidated Balance Sheets. During the six

months ended June 29, 2025, there were no material movements in reserves related to substantially completed programs. These programs have been excluded from the tables below.


	Pilgrim’s Food Masters 2024
	Liability or reserve as of December 29, 2024		Restructuring charges incurred		Cash payments and disposals		Currency translation		Liability or reserve as of June 29, 2025
	(In thousands)
Employee retention benefits	$	76	$	363	$	(302)	$	7	$	144
Severance	1,620		(143)		(1,363)		71		185
Asset impairment	—		79		(79)		—		—
Inventory adjustments	—		(34)		34		—		—
Lease termination	290		6		(6)		26		316
Other charges	4,787		453		(3,527)		285		1,998
Total	$	6,773	$	724	$	(5,243)	$	389	$	2,643


	Pilgrim’s Europe Central
	Liability or reserve as of December 29, 2024		Restructuring charges incurred		Cash payments and disposals		Currency translation		Liability or reserve as of June 29, 2025
	(In thousands)
Employee retention benefits	$	—	$	932	$	(932)	$	—	$	—
Severance	2,823		14,535		(12,201)		956		6,113
Asset impairment	—		28		(28)		—		—
Inventory adjustments	91		—		(96)		5		—
Lease termination	—		2,101		(2,222)		121		—
Other charges	67		954		(1,050)		29		—
Contract termination	1,223		—		(916)		86		393
Total	$	4,204	$	18,550	$	(17,445)	$	1,197	$	6,506

PILGRIMS PRIDE CORP 10-Q