Cover Page
Cover Page - shares | 4 Months Ended | |
Jun. 19, 2021 | Jul. 28, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 19, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-39350 | |
Entity Registrant Name | Albertsons Companies, Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 47-4376911 | |
Entity Address, Address Line One | 250 Parkcenter Blvd. | |
Entity Address, City or Town | Boise | |
Entity Address, State or Province | ID | |
Entity Address, Postal Zip Code | 83706 | |
City Area Code | 208 | |
Local Phone Number | 395-6200 | |
Title of 12(b) Security | Class A common stock, $0.01 par value | |
Trading Symbol | ACI | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 466,535,671 | |
Entity Central Index Key | 0001646972 | |
Current Fiscal Year End | --02-26 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 19, 2021 | Feb. 27, 2021 |
Current assets | ||
Cash and cash equivalents | $ 2,173.8 | $ 1,717 |
Receivables, net | 618.7 | 550.9 |
Inventories, net | 4,271.9 | 4,301.3 |
Other current assets | 313.1 | 418.8 |
Total current assets | 7,377.5 | 6,988 |
Property and equipment, net | 9,295.1 | 9,412.7 |
Operating lease right-of-use assets | 5,857.3 | 6,015.6 |
Intangible assets, net | 2,149.1 | 2,108.8 |
Goodwill | 1,200.5 | 1,183.3 |
Other assets | 902.4 | 889.6 |
TOTAL ASSETS | 26,781.9 | 26,598 |
Current liabilities | ||
Accounts payable | 3,386.3 | 3,487.3 |
Accrued salaries and wages | 1,365.4 | 1,474.7 |
Current maturities of long-term debt and finance lease obligations | 214.3 | 212.4 |
Current maturities of operating lease obligations | 610.9 | 605.3 |
Other current liabilities | 1,127.3 | 1,052.5 |
Total current liabilities | 6,704.2 | 6,832.2 |
Long-term debt and finance lease obligations | 8,145.8 | 8,101.2 |
Long-term operating lease obligations | 5,464.5 | 5,548 |
Deferred income taxes | 534.6 | 533.7 |
Other long-term liabilities | 2,635.3 | 2,659.5 |
Commitments and contingencies | ||
STOCKHOLDERS' EQUITY | ||
Additional paid-in capital | 1,911.1 | 1,898.9 |
Treasury stock, at cost, 120,009,647 shares held as of June 19, 2021 and February 27, 2021 | (1,907) | (1,907) |
Accumulated other comprehensive income | 63.6 | 63.5 |
Retained earnings | 1,624.8 | 1,263 |
Total stockholders' equity | 1,698.4 | 1,324.3 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | 26,781.9 | 26,598 |
Series A convertible preferred stock | ||
Current liabilities | ||
Undesignated preferred stock | 844.3 | 844.3 |
Series A-1 convertible preferred stock | ||
Current liabilities | ||
Undesignated preferred stock | 754.8 | 754.8 |
Undesignated preferred stock | ||
STOCKHOLDERS' EQUITY | ||
Undesignated preferred stock, $0.01 par value; 96,840,000 shares authorized, no shares issued as of June 19, 2021 and February 27, 2021 | 0 | 0 |
Class A common stock | ||
STOCKHOLDERS' EQUITY | ||
Common stock | 5.9 | 5.9 |
Class A-1 convertible common stock | ||
STOCKHOLDERS' EQUITY | ||
Common stock | $ 0 | $ 0 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 19, 2021 | Feb. 27, 2021 |
Common stock, shares authorized (in shares) | 150,000,000 | |
Common stock shares issued (in shares) | 0 | |
Treasury stock, at cost (in shares) | 120,009,647 | 120,009,647 |
Series A convertible preferred stock | ||
Temporary equity, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Temporary equity, shares authorized (in shares) | 1,750,000 | 1,750,000 |
Temporary equity, shares issued (in shares) | 924,000 | 924,000 |
Temporary equity, shares outstanding (in shares) | 924,000 | 924,000 |
Series A-1 convertible preferred stock | ||
Temporary equity, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Temporary equity, shares authorized (in shares) | 1,410,000 | 1,410,000 |
Temporary equity, shares issued (in shares) | 826,000 | 826,000 |
Temporary equity, shares outstanding (in shares) | 826,000 | 826,000 |
Undesignated preferred stock | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 96,840,000 | 96,840,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Class A common stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 |
Common stock shares issued (in shares) | 586,520,608 | 585,574,666 |
Class A-1 convertible common stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 150,000,000 | |
Common stock shares issued (in shares) | 0 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Income - USD ($) shares in Millions, $ in Millions | 4 Months Ended | |
Jun. 19, 2021 | Jun. 20, 2020 | |
Income Statement [Abstract] | ||
Net sales and other revenue | $ 21,269.4 | $ 22,751.6 |
Cost of sales | 15,078.4 | 15,980.1 |
Gross profit | 6,191 | 6,771.5 |
Selling and administrative expenses | 5,503.6 | 5,769.4 |
Loss on property dispositions and impairment losses, net | 0.3 | 30.3 |
Operating income | 687.1 | 971.8 |
Interest expense, net | 153.3 | 180.6 |
Other (income) expense, net | (43.5) | 3.1 |
Income before income taxes | 577.3 | 788.1 |
Income tax expense | 132.5 | 201.9 |
Net income | 444.8 | 586.2 |
Other comprehensive income, net of tax | ||
Recognition of pension gain | 0.1 | 0.8 |
Other | 0 | 0.9 |
Other comprehensive income | 0.1 | 1.7 |
Comprehensive income | $ 444.9 | $ 587.9 |
Net income per Class A common share | ||
Basic net income per class A common share (in dollars per share) | $ 0.80 | $ 1.03 |
Diluted net income per class A common share (in dollars per share) | $ 0.78 | $ 1 |
Weighted average Class A common shares outstanding | ||
Basic (in shares) | 465.1 | 568 |
Diluted (in shares) | 571.4 | 583.7 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions | 4 Months Ended | |
Jun. 19, 2021 | Jun. 20, 2020 | |
Cash flows from operating activities: | ||
Net income | $ 444.8 | $ 586.2 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Loss on property dispositions and impairment losses, net | 0.3 | 30.3 |
Depreciation and amortization | 504.2 | 460.1 |
Operating lease right-of-use assets amortization | 189.3 | 176.4 |
LIFO expense | 14.5 | 13.1 |
Deferred income tax | (17.9) | (51.2) |
Contributions to pension and post-retirement benefit plans, net of (income) expense | (14.5) | (63.5) |
(Gain) loss on interest rate swaps and commodity hedges, net | (6.3) | 24.5 |
Equity-based compensation expense | 22.2 | 19 |
Other | (22.9) | (1.8) |
Changes in operating assets and liabilities: | ||
Receivables, net | (74.7) | (4.7) |
Inventories, net | 14.8 | 67.8 |
Accounts payable, accrued salaries and wages and other accrued liabilities | (31.3) | 733.1 |
Operating lease liabilities | (109.5) | (98.7) |
Self-insurance assets and liabilities | 27.5 | 24.1 |
Other operating assets and liabilities | 118.5 | 177.2 |
Net cash provided by operating activities | 1,059 | 2,091.9 |
Cash flows from investing activities: | ||
Business acquisitions, net of cash acquired | (23.5) | 0 |
Payments for property, equipment and intangibles, including payments for lease buyouts | (513.4) | (402.3) |
Proceeds from sale of long-lived assets | 15.2 | 6.7 |
Other investing activities | 28.7 | (3.8) |
Net cash used in investing activities | (493) | (399.4) |
Cash flows from financing activities: | ||
Proceeds from issuance of long-term debt | 0 | 2,000 |
Payments on long-term borrowings | (0.3) | (2,001.4) |
Payments of obligations under finance leases | (14.1) | (14.1) |
Dividends paid on common stock | (46.5) | 0 |
Dividends paid on convertible preferred stock | (29.5) | 0 |
Proceeds from convertible preferred stock | 0 | 1,680 |
Third party issuance costs on convertible preferred stock | 0 | (80.9) |
Treasury stock purchase, at cost | 0 | (1,680) |
Employee tax withholding on vesting of restricted stock units | (10) | (6.2) |
Other financing activities | (8.8) | (4.3) |
Net cash used in financing activities | (109.2) | (106.9) |
Net increase in cash and cash equivalents and restricted cash | 456.8 | 1,585.6 |
Cash and cash equivalents and restricted cash at beginning of period | 1,767.6 | 478.9 |
Cash and cash equivalents and restricted cash at end of period | $ 2,224.4 | $ 2,064.5 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Millions | Total | Class A Common Stock | Additional paid in capital | Treasury Stock | Accumulated other comprehensive income loss | Retained earnings |
Beginning balance (in shares) at Feb. 29, 2020 | 582,997,251 | (3,671,621) | ||||
Beginning balance at Feb. 29, 2020 | $ 2,278.1 | $ 5.8 | $ 1,824.3 | $ (25.8) | $ (118.5) | $ 592.3 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock to Company's parents (in shares) | 1,312,859 | |||||
Equity-based compensation | 19 | 19 | ||||
Shares issued and employee tax withholding on vesting of restricted stock | (6.2) | (6.2) | ||||
Repurchase of common stock (in shares) | 101,611,736 | |||||
Repurchase of common stock | (1,680) | $ (1,680) | ||||
Dividends accrued on convertible preferred stock | (3.9) | (3.9) | ||||
Net income | 586.2 | 586.2 | ||||
Other comprehensive income, net of tax | 1.7 | 1.7 | ||||
Ending balance (in shares) at Jun. 20, 2020 | 584,310,110 | (105,283,357) | ||||
Ending balance at Jun. 20, 2020 | 1,194.9 | $ 5.8 | 1,837.1 | $ (1,705.8) | (116.8) | 1,174.6 |
Beginning balance (in shares) at Feb. 27, 2021 | 585,574,666 | (120,009,647) | ||||
Beginning balance at Feb. 27, 2021 | 1,324.3 | $ 5.9 | 1,898.9 | $ (1,907) | 63.5 | 1,263 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Equity-based compensation | 22.2 | 22.2 | ||||
Shares issued and employee tax withholding on vesting of restricted stock (in shares) | 945,942 | |||||
Shares issued and employee tax withholding on vesting of restricted stock | (10) | (10) | ||||
Dividends declared on common stock | (46.5) | (46.5) | ||||
Dividends accrued on convertible preferred stock | (36.4) | (36.4) | ||||
Net income | 444.8 | 444.8 | ||||
Other comprehensive income, net of tax | 0.1 | 0.1 | ||||
Other activity | (0.1) | 0 | (0.1) | |||
Ending balance (in shares) at Jun. 19, 2021 | 586,520,608 | (120,009,647) | ||||
Ending balance at Jun. 19, 2021 | $ 1,698.4 | $ 5.9 | $ 1,911.1 | $ (1,907) | $ 63.6 | $ 1,624.8 |
BASIS OF PRESENTATION AND SUMMA
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 4 Months Ended |
Jun. 19, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying interim Condensed Consolidated Financial Statements include the accounts of Albertsons Companies, Inc. and its subsidiaries (the "Company"). All significant intercompany balances and transactions were eliminated. The Condensed Consolidated Balance Sheet as of February 27, 2021 is derived from the Company's annual audited Consolidated Financial Statements, which should be read in conjunction with these Condensed Consolidated Financial Statements and which are included in the Company's Annual Report on Form 10-K for the fiscal year ended February 27, 2021, filed with the Securities and Exchange Commission (the "SEC") on April 28, 2021. Certain information in footnote disclosures normally included in annual financial statements was condensed or omitted for the interim periods presented in accordance with accounting principles generally accepted in the United States of America ("GAAP"). In the opinion of management, the interim data includes all adjustments, consisting of normal recurring adjustments, necessary for a fair statement of the results for the interim periods. The interim results of operations and cash flows are not necessarily indicative of those results and cash flows expected for the year. The Company' s results of operations are for the 16 weeks ended June 19, 2021 and June 20, 2020. Significant Accounting Policies Restricted cash: Restricted cash is included in Other current assets or Other assets depending on the remaining term of the restriction and primarily relates to funds held in escrow. The Company had $50.6 million of restricted cash as of June 19, 2021 and February 27, 2021. Inventories, net: Substantially all of the Company's inventories consist of finished goods valued at the lower of cost or market and net of vendor allowances. The Company uses either item-cost or the retail inventory method to value inventory at the lower of cost or market before application of any last-in, first-out ("LIFO") reserve. Interim LIFO inventory costs are based on management's estimates of expected year-end inventory levels and inflation rates. The Company recorded LIFO expense of $14.5 million and $13.1 million for the 16 weeks ended June 19, 2021 and June 20, 2020, respectively. Equity-based compensation: The Company maintains the Albertsons Companies, Inc. Restricted Stock Unit Plan and the Albertsons Companies, Inc. 2020 Omnibus Incentive Plan. The Company recognizes equity-based compensation expense for restricted stock units ("RSUs") and restricted common stock ("RSAs") of the Company granted to employees and non-employee directors. Actual forfeitures are recognized as they occur. Equity-based compensation expense is based on the fair value on the grant date and is recognized over the requisite service period of the award. The fair value of the RSUs and RSAs with a service condition or performance-based condition is generally determined using the fair market value of the Company's Class A common stock on the grant date. Upon vesting, RSUs and RSAs will be settled in shares of the Company's Class A common stock. RSUs generally vest over three years from the grant date, based on a service period, or upon a combination of both a service period and achievement of certain performance-based thresholds, and RSAs generally vest over five years from the grant date, with 50% based solely on a service period and 50% upon a service period and achievement of certain performance-based thresholds. For performance-based RSUs and RSAs granted in fiscal 2021, the number of shares of the Company's Class A common stock to be received at vesting can be adjusted within a predetermined range based on the Company's actual performance for fiscal 2021 relative to the fiscal 2021 performance target. Equity-based compensation expense recognized in the Condensed Consolidated Statements of Operations (in millions): 16 weeks ended June 19, June 20, RSUs $ 19.7 $ 17.8 RSAs 2.5 1.2 Total equity-based compensation expense $ 22.2 $ 19.0 Total related tax benefit $ 5.1 $ 4.6 On May 12, 2021, the Company issued 3.2 million RSUs to its employees and directors, of which 2.2 million were deemed granted. The 2.2 million issued and granted awards consist of 1.7 million RSUs that have solely time-based vesting and 0.5 million performance-based RSUs that were deemed granted upon the establishment of the fiscal 2021 performance target and that would vest upon both the achievement of such performance target and continued service through the vesting period. Additionally, 1.2 million previously issued performance-based RSUs and 0.3 million previously issued performance-based RSAs were deemed granted in fiscal 2021 upon the establishment of the fiscal 2021 annual performance target and that would vest upon both the achievement of such performance target and continued service through the vesting period. As of June 19, 2021, there was $119.4 million of unrecognized costs related to 11.1 million unvested granted RSUs. That cost is expected to be recognized over a weighted average period of 1.9 years. As of June 19, 2021, there was $9.2 million of unrecognized costs related to 1.0 million unvested granted RSAs. That cost is expected to be recognized over a weighted average period of 1.9 years. Income taxes: Income tax expense was $132.5 million, representing a 23.0% effective tax rate, for the 16 weeks ended June 19, 2021. Income tax expense was $201.9 million, representing a 25.6% effective tax rate, for the 16 weeks ended June 20, 2020. The decrease in the effective income tax rate was primarily driven by the recognition of certain discrete state income tax benefits during the 16 weeks ended June 19, 2021. The Company expects its annual effective tax rate for fiscal 2021 to be approximately 25%. Segments : The Company and its subsidiaries offer grocery products, general merchandise, health and beauty care products, pharmacy, fuel and other items and services in its stores or through digital channels. The Company's operating divisions are geographically based, have similar economic characteristics and similar expected long-term financial performance. The Company's operating segments and reporting units are its 12 operating divisions, which are reported in one reportable segment. Each reporting unit constitutes a business for which discrete financial information is available and for which management regularly reviews the operating results. Across all operating segments, the Company operates primarily one store format. Each division offers through its stores and digital channels the same general mix of products with similar pricing to similar categories of customers, has similar distribution methods, operates in similar regulatory environments and purchases merchandise from similar or the same vendors. Revenue Recognition: Revenues from the retail sale of products are recognized at the point of sale or delivery to the customer, net of returns and sales tax. Pharmacy sales are recorded upon the customer receiving the prescription. Third-party receivables from pharmacy sales were $298.9 million and $262.5 million as of June 19, 2021 and February 27, 2021, respectively, and are recorded in Receivables, net. For digital related sales, which primarily include home delivery and Drive Up & Go curbside pickup, revenues are recognized upon either pickup in store or delivery to the customer and may include revenue for separately charged delivery services. The Company records a contract liability when rewards are earned by customers in connection with the Company's loyalty programs. As rewards are redeemed or expire, the Company reduces the contract liability and recognizes revenue. The contract liability balance was immaterial as of June 19, 2021 and February 27, 2021. The Company records a contract liability when it sells its own proprietary gift cards. The Company records a sale when the customer redeems the gift card. The Company's gift cards do not expire. The Company reduces the contract liability and records revenue for the unused portion of gift cards ("breakage") in proportion to its customers' pattern of redemption, which the Company determined to be the historical redemption rate. The Company's contract liability related to gift cards was $85.0 million as of June 19, 2021 and $98.1 million as of February 27, 2021. Breakage amounts were immaterial for the 16 weeks ended June 19, 2021 and June 20, 2020, respectively. Disaggregated Revenues The following table represents sales revenue by type of similar product (dollars in millions): 16 weeks ended June 19, June 20, Amount (1) % of Total Amount (1) % of Total Non-perishables (2) $ 9,270.3 43.6 % $ 10,783.8 47.4 % Perishables (3) 8,912.6 41.9 9,555.6 42.0 Pharmacy 1,728.6 8.1 1,554.9 6.8 Fuel 1,049.3 4.9 589.2 2.6 Other (4) 308.6 1.5 268.1 1.2 Net sales and other revenue $ 21,269.4 100.0 % $ 22,751.6 100.0 % (1) Digital related sales are included in the categories to which the revenue pertains. (2) Consists primarily of general merchandise, grocery and frozen foods. (3) Consists primarily of produce, dairy, meat, deli, floral and seafood. (4) Consists primarily of wholesale revenue to third parties, commissions and other miscellaneous revenue. Recently issued accounting standards: In June 2020, the FASB issued ASU 2020-06, " Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity's Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity's Own Equit y" ("ASU 2020-06"). ASU 2020-06 simplifies the accounting for certain convertible instruments, amends guidance on derivative scope exceptions for contracts in an entity's own equity and modifies the guidance on diluted earnings per share calculations as a result of these changes. ASU 2020-06 will take effect for public entities for annual reporting periods beginning after December 15, 2021, and interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the effect of this standard on its Consolidated Financial Statements. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 4 Months Ended |
Jun. 19, 2021 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS The accounting guidance for fair value established a framework for measuring fair value and established a three-level valuation hierarchy for disclosure of fair value measurement. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability at the measurement date. The three levels are defined as follows: Level 1 - Quoted prices in active markets for identical assets or liabilities; Level 2 - Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable; and Level 3 - Unobservable inputs in which little or no market activity exists, requiring an entity to develop its own assumptions that market participants would use to value the asset or liability. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The following table presents assets and liabilities which were measured at fair value on a recurring basis as of June 19, 2021 (in millions): Fair Value Measurements Total Quoted prices in active markets Significant Significant Assets: Short-term investments (1) $ 11.7 $ 4.8 $ 6.9 $ — Non-current investments (2) 104.9 32.3 72.6 — Derivative contracts (3) 9.9 — 9.9 — Total $ 126.5 $ 37.1 $ 89.4 $ — Liabilities: Derivative contracts (4) $ 34.0 $ — $ 34.0 $ — Total $ 34.0 $ — $ 34.0 $ — (1) Primarily relates to Mutual Funds (Level 1) and Certificates of Deposit (Level 2). Included in Other current assets. (2) Primarily relates to investments in publicly traded stock (Level 1) and U.S. Treasury Notes and Corporate Bonds (Level 2). Included in Other assets. (3) Primarily relates to energy hedges. Included in Other assets. (4) Primarily relates to interest rate swaps. Included in Other current liabilities. The following table presents assets and liabilities which were measured at fair value on a recurring basis as of February 27, 2021 (in millions): Fair Value Measurements Total Quoted prices in active markets Significant Significant Assets: Short-term investments (1) $ 11.9 $ 4.4 $ 7.5 $ — Non-current investments (2) 110.2 40.3 69.9 — Total $ 122.1 $ 44.7 $ 77.4 $ — Liabilities: Derivative contracts (3) $ 40.0 $ — $ 40.0 $ — Total $ 40.0 $ — $ 40.0 $ — (1) Primarily relates to Mutual Funds (Level 1) and Certificates of Deposit (Level 2). Included in Other current assets. (2) Primarily relates to investments in publicly traded stock (Level 1) and U.S. Treasury Notes and Corporate Bonds (Level 2). Included in Other assets. (3) Primarily relates to interest rate swaps. Included in Other current liabilities. The estimated fair value of the Company's debt, including current maturities, was based on Level 2 inputs, being market quotes or values for similar instruments, and interest rates currently available to the Company for the issuance of debt with similar terms and remaining maturities as a discount rate for the remaining principal payments. As of June 19, 2021, the fair value of total debt was $8,178.2 million compared to the carrying value of $7,815.2 million, excluding debt discounts and deferred financing costs. As of February 27, 2021, the fair value of total debt was $8,150.7 million compared to the carrying value of $7,815.5 million, excluding debt discounts and deferred financing costs. Assets Measured at Fair Value on a Non-Recurring Basis |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 4 Months Ended |
Jun. 19, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | DERIVATIVE FINANCIAL INSTRUMENTS The aggregate notional amount of the Company's Swaps as of June 19, 2021 and February 27, 2021 were $1,653.0 million, of which none were designated as cash flow hedges as defined by GAAP. Activity related to interest rate swaps consisted of the following (in millions): 16 weeks ended June 19, June 20, Location of loss recognized from derivatives Loss on undesignated portion of interest rate swaps $ (0.3) $ (19.0) Other (income) expense, net |
LONG-TERM DEBT AND FINANCE LEAS
LONG-TERM DEBT AND FINANCE LEASE OBLIGATIONS | 4 Months Ended |
Jun. 19, 2021 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT AND FINANCE LEASE OBLIGATIONS | LONG-TERM DEBT AND FINANCE LEASE OBLIGATIONS The Company's long-term debt and finance lease obligations as of June 19, 2021 and February 27, 2021, net of unamortized debt discounts of $43.8 million and $44.8 million, respectively, and deferred financing costs of $66.2 million and $69.8 million, respectively, consisted of the following (in millions): June 19, February 27, Senior Unsecured Notes due 2023 to 2030, interest rate range of 3.25% to 7.50% $ 6,683.9 $ 6,680.5 Safeway Inc. Notes due 2021 to 2031, interest rate range of 4.75% to 7.45% 504.2 504.3 New Albertsons L.P. Notes due 2026 to 2031, interest rate range of 6.52% to 8.70% 470.3 469.1 Other financing obligations 29.4 29.4 Mortgage notes payable, secured 17.4 17.6 Finance lease obligations 654.9 612.7 Total debt 8,360.1 8,313.6 Less current maturities (214.3) (212.4) Long-term portion $ 8,145.8 $ 8,101.2 ABL Facility As of June 19, 2021 and February 27, 2021, there were no amounts outstanding under the Company's asset-based loan facility ("ABL Facility"), and letters of credit ("LOC") issued under the LOC sub-facility were $349.1 million and $354.6 million, respectively. |
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS | 4 Months Ended |
Jun. 19, 2021 | |
Retirement Benefits [Abstract] | |
EMPLOYEE BENEFIT PLANS | EMPLOYEE BENEFIT PLANS Pension and Other Post-Retirement Benefits The following tables provide the components of net pension and post-retirement (income) expense (in millions): 16 weeks ended Pension Other post-retirement benefits June 19, June 20, June 19, June 20, Estimated return on plan assets $ (32.7) $ (31.5) $ — $ — Service cost 6.9 4.8 — — Interest cost 13.0 16.6 0.1 0.1 Amortization of prior service cost 0.1 0.1 — 0.6 Amortization of net actuarial loss (gain) 0.3 0.6 (0.2) (0.2) (Income) expense, net $ (12.4) $ (9.4) $ (0.1) $ 0.5 The Company contributed $2.0 million and $54.6 million to its defined pension plans and post-retirement benefit plans during the 16 weeks ended June 19, 2021 and June 20, 2020, respectively. The Company currently anticipates contributing an additional $46.8 million to meet the minimum funding requirements for these plans for the remainder of fiscal 2021 but may make additional discretionary contributions that are determined to be beneficial to the Company. Defined Contribution Plans and Supplemental Retirement Plans Total contributions expensed for defined contribution plans (401(k) plans) were $16.2 million and $21.8 million for the 16 weeks ended June 19, 2021 and June 20, 2020, respectively. Multiemployer Pension Plans ARP Act: The American Rescue Plan Act ("ARP Act") was signed into law on March 11, 2021. The ARP Act establishes a special financial assistance program for financially troubled multiemployer pension plans. Under the ARP Act, eligible multiemployer plans can apply to receive a one-time cash payment in the amount projected by the Pension Benefit Guaranty Corporation ("PBGC") to pay pension benefits through the plan year ending 2051. On July 9, 2021, the PBGC issued its interim final rule with respect to the special financial assistance program. The PBGC interim final rule provides direction on the application requirements, identifies which plans will have priority, eligibility requirements, the determination of the amount of financial assistance to be provided and establishes conditions and restrictions that apply to plans that receive the assistance. The Company is currently evaluating the interim final rule, which is subject to a 30-day comment period, including any potential impact to the Company's Excess Plan as defined in and further described in "Part II—Item 8. Financial Statements and Supplemental Data—Note 12" of the Company's Annual Report on Form 10-K for the fiscal year ended February 27, 2021. |
COMMITMENTS AND CONTINGENCIES A
COMMITMENTS AND CONTINGENCIES AND OFF BALANCE SHEET ARRANGEMENTS | 4 Months Ended |
Jun. 19, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES AND OFF BALANCE SHEET ARRANGEMENTS | COMMITMENTS AND CONTINGENCIES AND OFF BALANCE SHEET ARRANGEMENTS Guarantees California Department of Industrial Relations: On January 21, 2014, the Company entered into a Collateral Substitution Agreement with the California Self-Insurers' Security Fund to provide collateral related to certain California self-insured workers' compensation obligations pursuant to applicable regulations. The collateral not covered by the California Self-Insurers' Security Fund is covered by surety bonds for the benefit of the State of California Office of Self-Insurance Plans. A portion of the surety bonds is covered by irrevocable LOCs. The collateral requirements are adjusted annually based on semi-annual filings of an actuarial study reflecting liabilities as of December 31 of each year reduced by claim closures and settlements. The related LOC was $22.6 million as of June 19, 2021 and $40.1 million as of February 27, 2021, respectively. Lease Guarantees: The Company may have liability under certain operating leases that were assigned to third parties. If any of these third parties fail to perform their obligations under the leases, the Company could be responsible for the lease obligation, including as a result of the economic dislocation caused by the response to the COVID-19 pandemic. Because of the wide dispersion among third parties and the variety of remedies available, the Company believes that if an assignee became insolvent, it would not have a material effect on the Company's financial condition, results of operations or cash flows. The Company also provides guarantees, indemnifications and assurances to others in the ordinary course of its business. Legal Proceedings The Company is subject from time to time to various claims and lawsuits arising in the ordinary course of business, including lawsuits involving trade practices, lawsuits alleging violations of state and/or federal wage and hour laws (including alleged violations of meal and rest period laws and alleged misclassification issues), real estate disputes as well as other matters. Some of these claims or suits purport or may be determined to be class actions and/or seek substantial damages. It is the opinion of the Company's management that although the amount of liability with respect to certain of the matters described herein cannot be ascertained at this time, any resulting liability of these and other matters, including any punitive damages, will not have a material adverse effect on the Company's business or financial condition. The Company continually evaluates its exposure to loss contingencies arising from pending or threatened litigation and believes it has made provisions where the loss contingency is probable and can be reasonably estimated. Nonetheless, assessing and predicting the outcomes of these matters involves substantial uncertainties. Management currently believes that the aggregate range of reasonably possible loss for the Company's exposure in excess of the amount accrued is expected to be immaterial to the Company. It remains possible that despite management's current belief, material differences in actual outcomes or changes in management's evaluation or predictions could arise that could have a material effect on the Company's financial condition, results of operations or cash flows. ERISA Litigation: Two lawsuits were brought against Safeway Inc. ("Safeway") and the Safeway Benefits Plan Committee (the "Benefit Plans Committee," and together with Safeway, the "Safeway Benefits Plans Defendants") and other third parties alleging breaches of fiduciary duty under the Employee Retirement Income Security Act of 1974, as amended ("ERISA") with respect to Safeway's 401(k) Plan (the "Safeway 401(k) Plan"). On July 14, 2016, a complaint was filed in the United States District Court for the Northern District of California by a participant in the Safeway 401(k) Plan individually and on behalf of the Safeway 401(k) Plan. An amended complaint was filed on November 18, 2016. On August 25, 2016, a second complaint was filed in the United States District Court for the Northern District of California by another participant in the Safeway 401(k) Plan individually and on behalf of all others similarly situated against the Safeway Benefits Plans Defendants and against the Safeway 401(k) Plan's former record-keepers. An amended complaint was filed on September 16, 2016, and a second amended complaint was filed on November 21, 2016. In general, both lawsuits alleged that the Safeway Benefits Plans Defendants breached their fiduciary duties under ERISA regarding the selection of investments offered under the Safeway 401(k) Plan and the fees and expenses related to those investments. All parties filed summary judgment motions which were heard and taken under submission on August 16, 2018. Plaintiffs' motions were denied, and defendants' motions were granted in part and denied in part. Bench trials for both matters were set for May 6, 2019. A settlement in principle was reached before trial. On September 13, 2019, settlement papers were filed with the Court along with a motion for preliminary approval of the settlement. A hearing for preliminary approval was set for November 20, 2019, but the Court vacated the hearing. The Court issued an order on March 30, 2020 requesting some minor changes to the notice procedures, and plaintiffs submitted an amended motion for preliminary approval. On September 8, 2020, the Court granted plaintiffs' amended motion, and a final approval hearing was held on April 26, 2021, at which time the Court took the matter under submission. The Company has recorded an estimated liability for these matters. False Claims Act : The Company has received a civil investigative demand dated February 28, 2020 from the United States Attorney for the Southern District of New York in connection with a False Claims Act ("FCA") investigation relating to the Company's dispensing practices regarding insulin pen products. The investigation seeks documents regarding the Company's policies, practices and procedures, as well as dispensing data, among other things. The Company intends to cooperate with the U.S. Attorney in the investigation. The Company is currently unable to determine the probability of the outcome of this matter or the range of possible loss, if any. Two qui tam actions alleging violations of the FCA have also been filed against the Company and its subsidiaries. Violations of the FCA are subject to treble damages and penalties of up to a specified dollar amount per false claim. In United States ex rel. Proctor v. Safeway , filed in the United States District Court for the Central District of Illinois, the relator alleges that Safeway overcharged federal government healthcare programs by not providing the federal government, as part of its usual and customary prices, the benefit of discounts given to customers in pharmacy membership discount and price-matching programs. The relator filed his complaint under seal on November 11, 2011, and the complaint was unsealed on August 26, 2015. The relator amended the complaint on March 31, 2016. On June 12, 2020, the Court granted Safeway's motion for summary judgment, holding that the relator could not prove that Safeway acted with the intent required under the FCA, and judgment was issued on June 15, 2020. On July 10, 2020, the relator filed a motion to alter or amend the judgment and to supplement the record, which Safeway opposed. On November 13, 2020, the Court denied relator's motion, and on December 11, 2020, relator filed a notice of appeal. The appeal is now pending in the Seventh Circuit Court of Appeals. Oral argument is scheduled for September 9, 2021. In United States ex rel. Schutte and Yarberry v. SuperValu, New Albertson's, Inc., et al. , also filed in the Central District of Illinois, the relators allege that defendants (including various subsidiaries of the Company) overcharged federal government healthcare programs by not providing the federal government, as a part of usual and customary prices, the benefit of discounts given to customers who requested that defendants match competitor prices. The complaint was originally filed under seal and amended on November 30, 2015. On August 5, 2019, the Court granted relators' motion for partial summary judgment, holding that price-matched prices are the usual and customary prices for those drugs. On July 1, 2020, the Court granted the defendants' motions for summary judgment and dismissed the case, holding that the relator could not prove that defendants acted with the intent required under the FCA. Judgment was issued on July 2, 2020. On July 9, 2020, the relators filed a notice of appeal. The appeal is now pending in the Seventh Circuit Court of Appeals. Oral argument was held on January 19, 2021. In both of the above cases, the federal government previously investigated the relators' allegations and declined to intervene. The relators elected to pursue their respective cases on their own and in each case have alleged FCA damages in excess of $100 million before trebling and excluding penalties. The Company is vigorously defending each of these matters and believes each of these cases is without merit. The Company has recorded an estimated liability for these matters. The Company was also subject to another FCA qui tam action entitled United States ex rel. Zelickowski v. Albertson's LLC. In that case, the relators alleged that Albertson's LLC ("Albertson's") overcharged federal healthcare programs by not providing the federal government, as a part of its usual and customary prices to the federal government, the benefit of discounts given to customers who enrolled in the Albertson's discount-club program. The complaint was originally filed under seal and amended on June 20, 2017. On December 17, 2018, the case was dismissed, without prejudice. Opioid Litigation: The Company is one of dozens of companies that have been named in various lawsuits alleging that defendants contributed to the national opioid epidemic. At present, the Company is named in over 80 suits pending in various state courts as well as in the United States District Court for the Northern District of Ohio, where over 2,000 cases have been consolidated as Multi-District Litigation ("MDL") pursuant to 28 U.S.C. §1407. Most of these cases have been stayed pending bellwether trials. At present, the most active case is a matter in New Mexico state court where we have been in active discovery and where a September 2022 trial date has been set. The MDL Court and a state court in Utah are currently considering position statements from the parties in connection with scheduling bellwether trials and it is likely that the Company may be included in one or more of those anticipated bellwether trials. The Company is vigorously defending these matters and believes that these cases are without merit. At this stage in the proceedings, the Company is unable to determine the probability of the outcome of these matters or the range of reasonably possible loss, if any. California Air Resources Board: Upon the inspection by the California Air Resources Board ("CARB") of several of the Company's stores in California, it was determined that the Company failed certain paperwork and other administrative requirements. As a result of the inspections, the Company proactively undertook a broad evaluation of the record keeping and administrative practices at all of its stores in California. In connection with this evaluation, the Company retained a third party to conduct an audit and correct deficiencies identified across its California store base. The Company is working with CARB to resolve these compliance issues and comply with governing regulations, and that work is ongoing. CARB has made an opening demand regarding potential fines and penalties. On July 7, 2021, the parties entered into a settlement agreement for which the Company has recorded an estimated liability. FACTA: On May 31, 2019, a putative class action complaint entitled Martin v. Safeway was filed in the California Superior Court for the County of Alameda, alleging the Company failed to comply with the Fair and Accurate Credit Transactions Act ("FACTA") by printing receipts that failed to adequately mask payment card numbers as required by FACTA. The plaintiff claims the violation was "willful" and exposes the Company to statutory damages provided for in FACTA. The Company has answered the complaint and is vigorously defending the matter. On January 8, 2020, the Company commenced mediation discussions with plaintiff's counsel and reached a settlement in principle on February 24, 2020. The parties will seek court approval of the settlement. The Company has recorded an estimated liability for this matter. Other Commitments |
OTHER COMPREHENSIVE INCOME OR L
OTHER COMPREHENSIVE INCOME OR LOSS | 4 Months Ended |
Jun. 19, 2021 | |
Equity [Abstract] | |
OTHER COMPREHENSIVE INCOME OR LOSS | OTHER COMPREHENSIVE INCOME OR LOSS Total comprehensive earnings are defined as all changes in stockholders' equity during a period, other than those from investments by or distributions to the stockholders. Generally, for the Company, total comprehensive income or loss equals net income plus or minus adjustments for pension and other post-retirement liabilities. Total comprehensive earnings represent the activity for a period net of tax. While total comprehensive earnings are the activity in a period and are largely driven by net earnings in that period, accumulated other comprehensive income or loss ("AOCI") represents the cumulative balance of other comprehensive income, net of tax, as of the balance sheet date. Changes in the AOCI balance by component are shown below (in millions): 16 weeks ended June 19, 2021 Total Pension and Post-retirement benefit plans Other Beginning balance $ 63.5 $ 61.3 $ 2.2 Amounts reclassified from accumulated other comprehensive income 0.2 0.2 — Tax expense (0.1) (0.1) — Current-period other comprehensive income, net of tax 0.1 0.1 — Ending balance $ 63.6 $ 61.4 $ 2.2 16 weeks ended June 20, 2020 Total Pension and Post-retirement benefit plans Other Beginning balance $ (118.5) $ (121.7) $ 3.2 Other comprehensive income before reclassifications 1.2 — 1.2 Amounts reclassified from accumulated other comprehensive income 1.1 1.1 — Tax expense (0.6) (0.3) (0.3) Current-period other comprehensive income, net of tax 1.7 0.8 0.9 Ending balance $ (116.8) $ (120.9) $ 4.1 |
NET INCOME PER CLASS A COMMON S
NET INCOME PER CLASS A COMMON SHARE | 4 Months Ended |
Jun. 19, 2021 | |
Earnings Per Share [Abstract] | |
NET INCOME PER CLASS A COMMON SHARE | NET INCOME PER CLASS A COMMON SHARE The Company calculates basic and diluted net income per Class A common share using the two-class method. The two-class method is an allocation formula that determines net income per Class A common share for each share of Class A common stock and the Company's Series A-1 convertible preferred stock ("Series A-1 preferred stock") and Series A convertible preferred stock ("Series A preferred stock" and together with the Series A-1 preferred stock, the "Convertible Preferred Stock"), a participating security, according to dividends declared and participation rights in undistributed earnings. Under this method, all earnings (distributed and undistributed) are allocated to Class A common shares and Convertible Preferred Stock based on their respective rights to receive dividends. The holders of Convertible Preferred Stock participate in cash dividends that the Company pays on its common stock to the extent that such cash dividends exceed $206.25 million per fiscal year. In applying the two-class method to interim periods, the Company allocates income to its quarterly periods independently and discretely from its year-to-date and annual periods. Basic net income per Class A common share is computed by dividing net income allocated to Class A common stockholders by the weighted average number of Class A common shares outstanding for the period, including Class A common shares to be issued with no prior remaining contingencies prior to issuance. Diluted net income per Class A common share is computed based on the weighted average number of shares of Class A common stock outstanding during each period, plus potential Class A common shares considered outstanding during the period, as long as the inclusion of such awards is not antidilutive. Potential Class A common shares consist of unvested RSUs and RSAs and Convertible Preferred Stock, using the more dilutive of either the two-class method or as-converted stock method. Performance-based RSUs are considered dilutive when the related performance criterion has been met. The components of basic and diluted net income per Class A common share were as follows (in millions, except per share data): 16 weeks ended June 19, June 20, Basic net income per Class A common share Net income $ 444.8 $ 586.2 Accrued dividends on Convertible Preferred Stock (36.4) (3.9) Earnings allocated to Convertible Preferred Stock (36.2) — Net income allocated to Class A common stockholders - Basic $ 372.2 $ 582.3 Weighted average Class A common shares outstanding - Basic (1) 465.1 568.0 Basic net income per Class A common share $ 0.80 $ 1.03 Diluted net income per Class A common share Net income allocated to Class A common stockholders - Basic $ 372.2 $ 582.3 Accrued dividends on Convertible Preferred Stock 36.4 3.9 Earnings allocated to Convertible Preferred Stock 36.2 — Net income allocated to Class A common stockholders - Diluted $ 444.8 $ 586.2 Weighted average Class A common shares outstanding - Basic (1) 465.1 568.0 Dilutive effect of: Restricted stock units and awards 4.7 4.8 Convertible preferred stock (2) 101.6 10.9 Weighted average Class A common shares outstanding - Diluted (3) 571.4 583.7 Diluted net income per Class A common share $ 0.78 $ 1.00 (1) There were 20,048 Class A common shares remaining to be issued for the 16 weeks ended June 19, 2021 compared to no Class A common shares remaining to be issued for the 16 weeks ended June 20, 2020. (2) Reflects the number of shares of Convertible Preferred Stock issued, if converted into common stock for the period outstanding. (3) There were no potential Class A common shares outstanding that were antidilutive for the 16 weeks ended June 19, 2021 and June 20, 2020, respectively. |
BASIS OF PRESENTATION AND SUM_2
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 4 Months Ended |
Jun. 19, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying interim Condensed Consolidated Financial Statements include the accounts of Albertsons Companies, Inc. and its subsidiaries (the "Company"). All significant intercompany balances and transactions were eliminated. The Condensed Consolidated Balance Sheet as of February 27, 2021 is derived from the Company's annual audited Consolidated Financial Statements, which should be read in conjunction with these Condensed Consolidated Financial Statements and which are included in the Company's Annual Report on Form 10-K for the fiscal year ended February 27, 2021, filed with the Securities and Exchange Commission (the "SEC") on April 28, 2021. Certain information in footnote disclosures normally included in annual financial statements was condensed or omitted for the interim periods presented in accordance with accounting principles generally accepted in the United States of America ("GAAP"). In the opinion of management, the interim data includes all adjustments, consisting of normal recurring adjustments, necessary for a fair statement of the results for the interim periods. The interim results of operations and cash flows are not necessarily indicative of those results and cash flows expected for the year. The Company' |
Restricted cash | Restricted cash: Restricted cash is included in Other current assets or Other assets depending on the remaining term of the restriction and primarily relates to funds held in escrow. |
Inventories, net | Inventories, net: Substantially all of the Company's inventories consist of finished goods valued at the lower of cost or market and net of vendor allowances. The Company uses either item-cost or the retail inventory method to value inventory at the lower of cost or market before application of any last-in, first-out ("LIFO") reserve. Interim LIFO inventory costs are based on management's estimates of expected year-end inventory levels and inflation rates. |
Equity-based compensation | Equity-based compensation: The Company maintains the Albertsons Companies, Inc. Restricted Stock Unit Plan and the Albertsons Companies, Inc. 2020 Omnibus Incentive Plan. The Company recognizes equity-based compensation expense for restricted stock units ("RSUs") and restricted common stock ("RSAs") of the Company granted to employees and non-employee directors. Actual forfeitures are recognized as they occur. Equity-based compensation expense is based on the fair value on the grant date and is recognized over the requisite service period of the award. The fair value of the RSUs and RSAs with a service condition or performance-based condition is generally determined using the fair market value of the Company's Class A common stock on the grant date. |
Income taxes | Income taxes:The decrease in the effective income tax rate was primarily driven by the recognition of certain discrete state income tax benefits during the 16 weeks ended June 19, 2021. The Company expects its annual effective tax rate for fiscal 2021 to be approximately 25%. |
Segments | Segments : The Company and its subsidiaries offer grocery products, general merchandise, health and beauty care products, pharmacy, fuel and other items and services in its stores or through digital channels. The Company's operating divisions are geographically based, have similar economic characteristics and similar expected long-term financial performance. The Company's operating segments and reporting units are its 12 operating divisions, which are reported in one reportable segment. Each reporting unit constitutes a business for which discrete financial information is available and for which management regularly reviews the operating results. Across all operating segments, the Company operates primarily one store format. Each division offers through its stores and digital channels the same general mix of products with similar pricing to similar categories of customers, has similar distribution methods, operates in similar regulatory environments and purchases merchandise from similar or the same vendors. |
Revenue Recognition | Revenue Recognition: Revenues from the retail sale of products are recognized at the point of sale or delivery to the customer, net of returns and sales tax. Pharmacy sales are recorded upon the customer receiving the prescription.For digital related sales, which primarily include home delivery and Drive Up & Go curbside pickup, revenues are recognized upon either pickup in store or delivery to the customer and may include revenue for separately charged delivery services. The Company records a contract liability when rewards are earned by customers in connection with the Company's loyalty programs. As rewards are redeemed or expire, the Company reduces the contract liability and recognizes revenue. The contract liability balance was immaterial as of June 19, 2021 and February 27, 2021.The Company records a contract liability when it sells its own proprietary gift cards. The Company records a sale when the customer redeems the gift card. The Company's gift cards do not expire. The Company reduces the contract liability and records revenue for the unused portion of gift cards ("breakage") in proportion to its customers' pattern of redemption, which the Company determined to be the historical redemption rate. |
Recently issued accounting standards | Recently issued accounting standards: In June 2020, the FASB issued ASU 2020-06, " Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity's Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity's Own Equit y" ("ASU 2020-06"). ASU 2020-06 simplifies the accounting for certain convertible instruments, amends guidance on derivative scope exceptions for contracts in an entity's own equity and modifies the guidance on diluted earnings per share calculations as a result of these changes. ASU 2020-06 will take effect for public entities for annual reporting periods beginning after December 15, 2021, and interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the effect of this standard on its Consolidated Financial Statements. |
Fair Value Measurements | FAIR VALUE MEASUREMENTS The accounting guidance for fair value established a framework for measuring fair value and established a three-level valuation hierarchy for disclosure of fair value measurement. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability at the measurement date. The three levels are defined as follows: Level 1 - Quoted prices in active markets for identical assets or liabilities; Level 2 - Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable; and Level 3 - Unobservable inputs in which little or no market activity exists, requiring an entity to develop its own assumptions that market participants would use to value the asset or liability. |
BASIS OF PRESENTATION AND SUM_3
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 4 Months Ended |
Jun. 19, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Equity Based Compensation Expense Recognized | Equity-based compensation expense recognized in the Condensed Consolidated Statements of Operations (in millions): 16 weeks ended June 19, June 20, RSUs $ 19.7 $ 17.8 RSAs 2.5 1.2 Total equity-based compensation expense $ 22.2 $ 19.0 Total related tax benefit $ 5.1 $ 4.6 |
Sales Revenue by Type of Similar Products | The following table represents sales revenue by type of similar product (dollars in millions): 16 weeks ended June 19, June 20, Amount (1) % of Total Amount (1) % of Total Non-perishables (2) $ 9,270.3 43.6 % $ 10,783.8 47.4 % Perishables (3) 8,912.6 41.9 9,555.6 42.0 Pharmacy 1,728.6 8.1 1,554.9 6.8 Fuel 1,049.3 4.9 589.2 2.6 Other (4) 308.6 1.5 268.1 1.2 Net sales and other revenue $ 21,269.4 100.0 % $ 22,751.6 100.0 % (1) Digital related sales are included in the categories to which the revenue pertains. (2) Consists primarily of general merchandise, grocery and frozen foods. (3) Consists primarily of produce, dairy, meat, deli, floral and seafood. (4) Consists primarily of wholesale revenue to third parties, commissions and other miscellaneous revenue. |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 4 Months Ended |
Jun. 19, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis | The following table presents assets and liabilities which were measured at fair value on a recurring basis as of June 19, 2021 (in millions): Fair Value Measurements Total Quoted prices in active markets Significant Significant Assets: Short-term investments (1) $ 11.7 $ 4.8 $ 6.9 $ — Non-current investments (2) 104.9 32.3 72.6 — Derivative contracts (3) 9.9 — 9.9 — Total $ 126.5 $ 37.1 $ 89.4 $ — Liabilities: Derivative contracts (4) $ 34.0 $ — $ 34.0 $ — Total $ 34.0 $ — $ 34.0 $ — (1) Primarily relates to Mutual Funds (Level 1) and Certificates of Deposit (Level 2). Included in Other current assets. (2) Primarily relates to investments in publicly traded stock (Level 1) and U.S. Treasury Notes and Corporate Bonds (Level 2). Included in Other assets. (3) Primarily relates to energy hedges. Included in Other assets. (4) Primarily relates to interest rate swaps. Included in Other current liabilities. The following table presents assets and liabilities which were measured at fair value on a recurring basis as of February 27, 2021 (in millions): Fair Value Measurements Total Quoted prices in active markets Significant Significant Assets: Short-term investments (1) $ 11.9 $ 4.4 $ 7.5 $ — Non-current investments (2) 110.2 40.3 69.9 — Total $ 122.1 $ 44.7 $ 77.4 $ — Liabilities: Derivative contracts (3) $ 40.0 $ — $ 40.0 $ — Total $ 40.0 $ — $ 40.0 $ — (1) Primarily relates to Mutual Funds (Level 1) and Certificates of Deposit (Level 2). Included in Other current assets. (2) Primarily relates to investments in publicly traded stock (Level 1) and U.S. Treasury Notes and Corporate Bonds (Level 2). Included in Other assets. (3) Primarily relates to interest rate swaps. Included in Other current liabilities. |
DERIVATIVE FINANCIAL INSTRUME_2
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 4 Months Ended |
Jun. 19, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments Designated as Cash Flow Hedges | Activity related to interest rate swaps consisted of the following (in millions): 16 weeks ended June 19, June 20, Location of loss recognized from derivatives Loss on undesignated portion of interest rate swaps $ (0.3) $ (19.0) Other (income) expense, net |
LONG-TERM DEBT AND FINANCE LE_2
LONG-TERM DEBT AND FINANCE LEASE OBLIGATIONS (Tables) | 4 Months Ended |
Jun. 19, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | The Company's long-term debt and finance lease obligations as of June 19, 2021 and February 27, 2021, net of unamortized debt discounts of $43.8 million and $44.8 million, respectively, and deferred financing costs of $66.2 million and $69.8 million, respectively, consisted of the following (in millions): June 19, February 27, Senior Unsecured Notes due 2023 to 2030, interest rate range of 3.25% to 7.50% $ 6,683.9 $ 6,680.5 Safeway Inc. Notes due 2021 to 2031, interest rate range of 4.75% to 7.45% 504.2 504.3 New Albertsons L.P. Notes due 2026 to 2031, interest rate range of 6.52% to 8.70% 470.3 469.1 Other financing obligations 29.4 29.4 Mortgage notes payable, secured 17.4 17.6 Finance lease obligations 654.9 612.7 Total debt 8,360.1 8,313.6 Less current maturities (214.3) (212.4) Long-term portion $ 8,145.8 $ 8,101.2 |
EMPLOYEE BENEFIT PLANS (Tables)
EMPLOYEE BENEFIT PLANS (Tables) | 4 Months Ended |
Jun. 19, 2021 | |
Retirement Benefits [Abstract] | |
Schedule of Components of Net Pension and Post-retirement Expense | The following tables provide the components of net pension and post-retirement (income) expense (in millions): 16 weeks ended Pension Other post-retirement benefits June 19, June 20, June 19, June 20, Estimated return on plan assets $ (32.7) $ (31.5) $ — $ — Service cost 6.9 4.8 — — Interest cost 13.0 16.6 0.1 0.1 Amortization of prior service cost 0.1 0.1 — 0.6 Amortization of net actuarial loss (gain) 0.3 0.6 (0.2) (0.2) (Income) expense, net $ (12.4) $ (9.4) $ (0.1) $ 0.5 |
OTHER COMPREHENSIVE INCOME OR_2
OTHER COMPREHENSIVE INCOME OR LOSS (Tables) | 4 Months Ended |
Jun. 19, 2021 | |
Equity [Abstract] | |
Schedule of Changes in the Accumulated Other Comprehensive Income or Loss | Changes in the AOCI balance by component are shown below (in millions): 16 weeks ended June 19, 2021 Total Pension and Post-retirement benefit plans Other Beginning balance $ 63.5 $ 61.3 $ 2.2 Amounts reclassified from accumulated other comprehensive income 0.2 0.2 — Tax expense (0.1) (0.1) — Current-period other comprehensive income, net of tax 0.1 0.1 — Ending balance $ 63.6 $ 61.4 $ 2.2 16 weeks ended June 20, 2020 Total Pension and Post-retirement benefit plans Other Beginning balance $ (118.5) $ (121.7) $ 3.2 Other comprehensive income before reclassifications 1.2 — 1.2 Amounts reclassified from accumulated other comprehensive income 1.1 1.1 — Tax expense (0.6) (0.3) (0.3) Current-period other comprehensive income, net of tax 1.7 0.8 0.9 Ending balance $ (116.8) $ (120.9) $ 4.1 |
NET INCOME PER CLASS A COMMON_2
NET INCOME PER CLASS A COMMON SHARE (Tables) | 4 Months Ended |
Jun. 19, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The components of basic and diluted net income per Class A common share were as follows (in millions, except per share data): 16 weeks ended June 19, June 20, Basic net income per Class A common share Net income $ 444.8 $ 586.2 Accrued dividends on Convertible Preferred Stock (36.4) (3.9) Earnings allocated to Convertible Preferred Stock (36.2) — Net income allocated to Class A common stockholders - Basic $ 372.2 $ 582.3 Weighted average Class A common shares outstanding - Basic (1) 465.1 568.0 Basic net income per Class A common share $ 0.80 $ 1.03 Diluted net income per Class A common share Net income allocated to Class A common stockholders - Basic $ 372.2 $ 582.3 Accrued dividends on Convertible Preferred Stock 36.4 3.9 Earnings allocated to Convertible Preferred Stock 36.2 — Net income allocated to Class A common stockholders - Diluted $ 444.8 $ 586.2 Weighted average Class A common shares outstanding - Basic (1) 465.1 568.0 Dilutive effect of: Restricted stock units and awards 4.7 4.8 Convertible preferred stock (2) 101.6 10.9 Weighted average Class A common shares outstanding - Diluted (3) 571.4 583.7 Diluted net income per Class A common share $ 0.78 $ 1.00 (1) There were 20,048 Class A common shares remaining to be issued for the 16 weeks ended June 19, 2021 compared to no Class A common shares remaining to be issued for the 16 weeks ended June 20, 2020. (2) Reflects the number of shares of Convertible Preferred Stock issued, if converted into common stock for the period outstanding. (3) There were no potential Class A common shares outstanding that were antidilutive for the 16 weeks ended June 19, 2021 and June 20, 2020, respectively. |
BASIS OF PRESENTATION AND SUM_4
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Narrative (Details) shares in Millions, $ in Millions | May 12, 2021shares | Jun. 19, 2021USD ($)divisionstore_formatsegmentshares | Jun. 20, 2020USD ($) | Feb. 27, 2021USD ($) |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Restricted cash | $ | $ 50.6 | $ 50.6 | ||
LIFO expense | $ | 14.5 | $ 13.1 | ||
Income tax expense | $ | $ 132.5 | $ 201.9 | ||
Effective tax rate | 23.00% | 25.60% | ||
Number of divisions | division | 12 | |||
Number of reportable segments | segment | 1 | |||
Number of store format | store_format | 1 | |||
Receivables, net | $ | $ 618.7 | 550.9 | ||
Contract liability related to gift cards | $ | 85 | 98.1 | ||
Pharmacy | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Receivables, net | $ | 298.9 | $ 262.5 | ||
Phantom Units | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Grants in period (in shares) | shares | 1.7 | |||
Compensation cost not yet recognized | $ | $ 119.4 | |||
Number of unvested phantom units (in shares) | shares | 11.1 | |||
Period for recognition of unrecognized compensation cost | 1 year 10 months 24 days | |||
Phantom Units | President and Chief Executive Officer | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Vesting percentage | 50.00% | |||
Restricted Stock Units (RSU) Deemed not Granted | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Issued in period (in shares) | shares | 2.2 | |||
Restricted Stock Units (RSU) Deemed not Granted | President and Chief Executive Officer | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Award vesting period | 3 years | |||
Direct Equity Interest | President and Chief Executive Officer | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Award vesting period | 5 years | |||
RSUs | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Issued in period (in shares) | shares | 3.2 | |||
Compensation cost not yet recognized | $ | $ 9.2 | |||
Number of unvested phantom units (in shares) | shares | 1 | |||
Period for recognition of unrecognized compensation cost | 1 year 10 months 24 days | |||
Restricted Stock Units (RSU), Performance Based, Deemed Not Granted | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Grants in period (in shares) | shares | 0.5 | |||
Performance Based Restricted Stock Units | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Issued in period (in shares) | shares | 1.2 | |||
Performance Based Restricted Stock Awards | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Issued in period (in shares) | shares | 0.3 |
BASIS OF PRESENTATION AND SUM_5
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Schedule of Equity-based Compensation Expense (Details) - USD ($) $ in Millions | 4 Months Ended | |
Jun. 19, 2021 | Jun. 20, 2020 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Equity-based compensation expense | $ 22.2 | $ 19 |
Income tax benefit | 5.1 | 4.6 |
RSUs | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Equity-based compensation expense | 19.7 | 17.8 |
Phantom Units | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Equity-based compensation expense | $ 2.5 | $ 1.2 |
BASIS OF PRESENTATION AND SUM_6
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Sales Revenue by Similar Products (Details) - USD ($) $ in Millions | 4 Months Ended | |
Jun. 19, 2021 | Jun. 20, 2020 | |
Concentration Risk [Line Items] | ||
Net sales and other revenue | $ 21,269.4 | $ 22,751.6 |
Product Line | Product Concentration Risk | ||
Concentration Risk [Line Items] | ||
Net sales and other revenue | $ 21,269.4 | $ 22,751.6 |
Percentage of total net sales and other revenue | 100.00% | 100.00% |
Non-perishables | Product Line | Product Concentration Risk | ||
Concentration Risk [Line Items] | ||
Net sales and other revenue | $ 9,270.3 | $ 10,783.8 |
Percentage of total net sales and other revenue | 43.60% | 47.40% |
Perishables | Product Line | Product Concentration Risk | ||
Concentration Risk [Line Items] | ||
Net sales and other revenue | $ 8,912.6 | $ 9,555.6 |
Percentage of total net sales and other revenue | 41.90% | 42.00% |
Pharmacy | Product Line | Product Concentration Risk | ||
Concentration Risk [Line Items] | ||
Net sales and other revenue | $ 1,728.6 | $ 1,554.9 |
Percentage of total net sales and other revenue | 8.10% | 6.80% |
Fuel | Product Line | Product Concentration Risk | ||
Concentration Risk [Line Items] | ||
Net sales and other revenue | $ 1,049.3 | $ 589.2 |
Percentage of total net sales and other revenue | 4.90% | 2.60% |
Other | Product Line | Product Concentration Risk | ||
Concentration Risk [Line Items] | ||
Net sales and other revenue | $ 308.6 | $ 268.1 |
Percentage of total net sales and other revenue | 1.50% | 1.20% |
FAIR VALUE MEASUREMENTS - Sched
FAIR VALUE MEASUREMENTS - Schedule of Assets and Liabilities Measured at Fair Value (Details) - Recurring - USD ($) $ in Millions | Jun. 19, 2021 | Feb. 27, 2021 |
Cash equivalents: | ||
Short-term investments | $ 11.7 | $ 11.9 |
Non-current investments | 104.9 | 110.2 |
Derivative Contracts | 9.9 | |
Total | 126.5 | 122.1 |
Liabilities: | ||
Derivative contracts | 34 | 40 |
Total | 34 | 40 |
Quoted prices in active markets for identical assets (Level 1) | ||
Cash equivalents: | ||
Short-term investments | 4.8 | 4.4 |
Non-current investments | 32.3 | 40.3 |
Derivative Contracts | 0 | |
Total | 37.1 | 44.7 |
Liabilities: | ||
Derivative contracts | 0 | 0 |
Total | 0 | 0 |
Significant observable inputs (Level 2) | ||
Cash equivalents: | ||
Short-term investments | 6.9 | 7.5 |
Non-current investments | 72.6 | 69.9 |
Derivative Contracts | 9.9 | |
Total | 89.4 | 77.4 |
Liabilities: | ||
Derivative contracts | 34 | 40 |
Total | 34 | 40 |
Significant unobservable inputs (Level 3) | ||
Cash equivalents: | ||
Short-term investments | 0 | 0 |
Non-current investments | 0 | 0 |
Derivative Contracts | 0 | |
Total | 0 | 0 |
Liabilities: | ||
Derivative contracts | 0 | 0 |
Total | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS - Narra
FAIR VALUE MEASUREMENTS - Narrative (Details) - USD ($) $ in Millions | Jun. 19, 2021 | Feb. 27, 2021 |
Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total debt amount | $ 8,178.2 | $ 8,150.7 |
Carrying Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total debt amount | $ 7,815.2 | $ 7,815.5 |
DERIVATIVE FINANCIAL INSTRUME_3
DERIVATIVE FINANCIAL INSTRUMENTS - Narrative (Details) - USD ($) | Jun. 19, 2021 | Feb. 27, 2021 |
Swaps not Designated as Hedging Instruments | Interest Rate Swaps | ||
Derivative [Line Items] | ||
Notional amount | $ 1,653,000,000 | $ 1,653,000,000 |
DERIVATIVE FINANCIAL INSTRUME_4
DERIVATIVE FINANCIAL INSTRUMENTS - Schedule of Cash Flow Hedges (Details) - USD ($) $ in Millions | 4 Months Ended | |
Jun. 19, 2021 | Jun. 20, 2020 | |
Loss on undesignated portion of interest rate swaps | Designated Interest Rate Swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of loss recognized from derivatives | $ (0.3) | $ (19) |
LONG-TERM DEBT AND FINANCE LE_3
LONG-TERM DEBT AND FINANCE LEASE OBLIGATIONS - Narrative (Details) - USD ($) | Jun. 19, 2021 | Feb. 27, 2021 |
Debt Instrument [Line Items] | ||
Unamortized debt discounts | $ 43,800,000 | $ 44,800,000 |
Deferred financing costs | 66,200,000 | 69,800,000 |
Outstanding balance on letters of credit | 22,600,000 | 40,100,000 |
Asset-Based Loan Facility | Line of Credit | ||
Debt Instrument [Line Items] | ||
Outstanding balance on line of credit | 0 | 0 |
LOC Sub-facility | ||
Debt Instrument [Line Items] | ||
Outstanding balance on letters of credit | $ 349,100,000 | $ 354,600,000 |
LONG-TERM DEBT AND FINANCE LE_4
LONG-TERM DEBT AND FINANCE LEASE OBLIGATIONS - Schedule of Long-term Debt (Details) - USD ($) $ in Millions | Jun. 19, 2021 | Feb. 27, 2021 |
Debt Instrument [Line Items] | ||
Finance lease obligations | $ 654.9 | $ 612.7 |
Total debt | 8,360.1 | 8,313.6 |
Less current maturities | (214.3) | (212.4) |
Long-term portion | 8,145.8 | 8,101.2 |
Other financing obligations | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 29.4 | 29.4 |
Senior Notes | Senior Unsecured Notes due 2023 to 2030, interest rate range of 3.25% to 7.50% | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 6,683.9 | 6,680.5 |
Senior Notes | Senior Unsecured Notes due 2023 to 2030, interest rate range of 3.25% to 7.50% | Minimum | ||
Debt Instrument [Line Items] | ||
Stated interest rate percentage | 3.25% | |
Senior Notes | Senior Unsecured Notes due 2023 to 2030, interest rate range of 3.25% to 7.50% | Maximum | ||
Debt Instrument [Line Items] | ||
Stated interest rate percentage | 7.50% | |
Notes Payable | Safeway Inc. Notes due 2021 to 2031, interest rate range of 4.75% to 7.45% | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 504.2 | 504.3 |
Notes Payable | Safeway Inc. Notes due 2021 to 2031, interest rate range of 4.75% to 7.45% | Minimum | ||
Debt Instrument [Line Items] | ||
Stated interest rate percentage | 4.75% | |
Notes Payable | Safeway Inc. Notes due 2021 to 2031, interest rate range of 4.75% to 7.45% | Maximum | ||
Debt Instrument [Line Items] | ||
Stated interest rate percentage | 7.45% | |
Notes Payable | New Albertsons L.P. Notes due 2026 to 2031, interest rate range of 6.52% to 8.70% | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 470.3 | 469.1 |
Notes Payable | New Albertsons L.P. Notes due 2026 to 2031, interest rate range of 6.52% to 8.70% | Minimum | ||
Debt Instrument [Line Items] | ||
Stated interest rate percentage | 6.52% | |
Notes Payable | New Albertsons L.P. Notes due 2026 to 2031, interest rate range of 6.52% to 8.70% | Maximum | ||
Debt Instrument [Line Items] | ||
Stated interest rate percentage | 8.70% | |
Mortgage Notes Payable | Mortgage notes payable, secured | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 17.4 | $ 17.6 |
EMPLOYEE BENEFIT PLANS - Schedu
EMPLOYEE BENEFIT PLANS - Schedule of Components of Net Pension and Post-Retirement Expense (Details) - USD ($) $ in Millions | 4 Months Ended | |
Jun. 19, 2021 | Jun. 20, 2020 | |
Pension | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Estimated return on plan assets | $ (32.7) | $ (31.5) |
Service cost | 6.9 | 4.8 |
Interest cost | 13 | 16.6 |
Amortization of prior service cost | 0.1 | 0.1 |
Amortization of net actuarial loss (gain) | 0.3 | 0.6 |
(Income) expense, net | (12.4) | (9.4) |
Other post-retirement benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Estimated return on plan assets | 0 | 0 |
Service cost | 0 | 0 |
Interest cost | 0.1 | 0.1 |
Amortization of prior service cost | 0 | 0.6 |
Amortization of net actuarial loss (gain) | (0.2) | (0.2) |
(Income) expense, net | $ (0.1) | $ 0.5 |
EMPLOYEE BENEFIT PLANS - Narrat
EMPLOYEE BENEFIT PLANS - Narrative (Details) - USD ($) $ in Millions | 4 Months Ended | |
Jun. 19, 2021 | Jun. 20, 2020 | |
Retirement Benefits [Abstract] | ||
Contribution made to defined benefit plan | $ 2 | $ 54.6 |
Expected future employer contributions for remainder of the fiscal year | 46.8 | |
Defined contribution plan costs recognized | $ 16.2 | $ 21.8 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES AND OFF BALANCE SHEET ARRANGEMENTS - Guarantees (Details) - USD ($) $ in Millions | Jun. 19, 2021 | Feb. 27, 2021 |
Commitments and Contingencies Disclosure [Abstract] | ||
Outstanding balance on letters of credit | $ 22.6 | $ 40.1 |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES AND OFF BALANCE SHEET ARRANGEMENTS - Legal Contingencies (Details) $ in Millions | 4 Months Ended |
Jun. 19, 2021USD ($)lawsuitclaim | |
Safeway's 401(k) Plan | Pending litigation | Safeway Inc | |
Loss Contingencies [Line Items] | |
Number of lawsuits filed against the company | lawsuit | 2 |
Qui Tam Lawsuits | Pending litigation | |
Loss Contingencies [Line Items] | |
Number of lawsuits filed against the company | lawsuit | 2 |
Loss contingency, amount of damages sought (in excess of) | $ | $ 100 |
Various State Courts | Threatened litigation | |
Loss Contingencies [Line Items] | |
Number of lawsuits filed against the company | claim | 80 |
Consolidated Cases for Multidistrict Litigation | |
Loss Contingencies [Line Items] | |
Number of lawsuits filed against the company | claim | 2,000 |
OTHER COMPREHENSIVE INCOME OR_3
OTHER COMPREHENSIVE INCOME OR LOSS - Changes in the AOCI Balance (Details) - USD ($) $ in Millions | 4 Months Ended | |
Jun. 19, 2021 | Jun. 20, 2020 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | $ 1,324.3 | $ 2,278.1 |
Other comprehensive income before reclassifications | 1.2 | |
Amounts reclassified from accumulated other comprehensive income | 0.2 | 1.1 |
Tax expense | (0.1) | (0.6) |
Other comprehensive income | 0.1 | 1.7 |
Ending balance | 1,698.4 | 1,194.9 |
Accumulated other comprehensive income | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | 63.5 | (118.5) |
Ending balance | 63.6 | (116.8) |
Pension and Post-retirement benefit plans | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | 61.3 | (121.7) |
Other comprehensive income before reclassifications | 0 | |
Amounts reclassified from accumulated other comprehensive income | 0.2 | 1.1 |
Tax expense | (0.1) | (0.3) |
Other comprehensive income | 0.1 | 0.8 |
Ending balance | 61.4 | (120.9) |
Other | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | 2.2 | 3.2 |
Other comprehensive income before reclassifications | 1.2 | |
Amounts reclassified from accumulated other comprehensive income | 0 | 0 |
Tax expense | 0 | (0.3) |
Other comprehensive income | 0 | 0.9 |
Ending balance | $ 2.2 | $ 4.1 |
NET INCOME PER CLASS A COMMON_3
NET INCOME PER CLASS A COMMON SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands | 4 Months Ended | |
Jun. 19, 2021 | Jun. 20, 2020 | |
Basic net income per Class A common share | ||
Net income | $ 444,800 | $ 586,200 |
Accrued dividends on Convertible Preferred Stock | (36,400) | (3,900) |
Earnings allocated to Convertible Preferred Stock | (36,200) | 0 |
Net income allocated to Class A common stockholders - Basic | $ 372,200 | $ 582,300 |
Weighted average class A common shares outstanding - Basic (in shares) | 465,100,000 | 568,000,000 |
Basic net income per class A common share (in dollars per share) | $ 0.80 | $ 1.03 |
Diluted net income per Class A common share | ||
Accrued dividends on Convertible Preferred Stock | $ 36,400 | $ 3,900 |
Earnings allocated to Convertible Preferred Stock | 36,200 | 0 |
Net income allocated to Class A common stockholders - Diluted | $ 444,800 | $ 586,200 |
Dilutive effect of: | ||
Restricted stock units and awards (in shares) | 20,048,000,000 | 0 |
Convertible preferred stock (in shares) | 101,600,000 | 10,900,000 |
Weighted average class A common shares outstanding - Diluted (in shares) | 571,400,000 | 583,700,000 |
Diluted net income per class A common share (in dollars per share) | $ 0.78 | $ 1 |
Antidilutive securities excluded from computation of diluted income per common share (in shares) | 0 | 0 |
RSUs | ||
Dilutive effect of: | ||
Restricted stock units and awards (in shares) | 4,700,000 | 4,800,000 |
Series A-1 convertible preferred stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Preferred stock participation in cash dividends over dividends to common stock | $ 206,250 |