TYSON FOODS INC, 10-K filed on 11/17/2014
Annual Report
Document and Entity Information (USD $)
12 Months Ended
Sep. 27, 2014
Oct. 25, 2014
Class A [Member]
Mar. 29, 2014
Class A [Member]
Oct. 25, 2014
Class B [Member]
Mar. 29, 2014
Class B [Member]
Entity Registrant Name
TYSON FOODS INC 
 
 
 
 
Entity Central Index Key
0000100493 
 
 
 
 
Current Fiscal Year End Date
--09-27 
 
 
 
 
Entity Filer Category
Large Accelerated Filer 
 
 
 
 
Document Type
10-K 
 
 
 
 
Document Period End Date
Sep. 27, 2014 
 
 
 
 
Document Fiscal Year Focus
2014 
 
 
 
 
Document Fiscal Period Focus
FY 
 
 
 
 
Amendment Flag
false 
 
 
 
 
Entity Common Stock, Shares Outstanding
 
305,656,663 
 
70,010,805 
 
Entity Well-known Seasoned Issuer
Yes 
 
 
 
 
Entity Voluntary Filers
No 
 
 
 
 
Entity Current Reporting Status
Yes 
 
 
 
 
Entity Public Float
 
 
$ 11,778,761,908 
 
$ 466,236 
Consolidated Statements Of Income (USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Sales
$ 37,580 
$ 34,374 
$ 33,055 
Cost of Sales
34,895 
32,016 
30,865 
Gross Profit
2,685 
2,358 
2,190 
Operating Expenses:
 
 
 
Selling, General and Administrative
1,255 
983 
904 
Operating Income
1,430 
1,375 
1,286 
Other (Income) Expense:
 
 
 
Interest income
(7)
(7)
(12)
Interest expense
132 
145 
356 
Other, net
53 
(20)
(23)
Total Other (Income) Expense
178 
118 
321 
Income from Continuing Operations before Income Taxes
1,252 
1,257 
965 
Income Tax Expense
396 
409 
351 
Income from Continuing Operations
856 
848 
614 
Loss from Discontinued Operation, Net of Tax
0 
(70)
(38)
Net Income
856 
778 
576 
Less: Net loss attributable to noncontrolling interest
(8)
0 
(7)
Net Income Attributable to Tyson
864 
778 
583 
Amounts attributable to Tyson:
 
 
 
Net Income from Continuing Operations Attributable to Tyson
864 
848 
621 
Net Loss from Discontinued Operation Attributable to Tyson
$ 0 
$ (70)
$ (38)
Weighted Average Shares Outstanding:
 
 
 
Diluted
364 
367 
370 
Net Income per Share from Continuing Operations Attributable to Tyson:
 
 
 
Diluted (USD per share)
$ 2.37 
$ 2.31 
$ 1.68 
Net Loss Per Share from Discontinued Operation Attributable to Tyson:
 
 
 
Diluted (USD per share)
$ 0.00 
$ (0.19)
$ (0.10)
Net Income Per Share Attributable to Tyson:
 
 
 
Diluted (USD per share)
$ 2.37 
$ 2.12 
$ 1.58 
Class A [Member]
 
 
 
Weighted Average Shares Outstanding:
 
 
 
Basic
284 
282 
293 
Net Income per Share from Continuing Operations Attributable to Tyson:
 
 
 
Basic (USD per share)
$ 2.48 
$ 2.46 
$ 1.75 
Net Loss Per Share from Discontinued Operation Attributable to Tyson:
 
 
 
Basic (USD per share)
$ 0.00 
$ (0.20)
$ (0.11)
Net Income Per Share Attributable to Tyson:
 
 
 
Basic (USD per share)
$ 2.48 
$ 2.26 
$ 1.64 
Dividends Declared Per Share:
 
 
 
Dividends Declared (USD per share)
$ 0.325 
$ 0.310 
$ 0.160 
Class B [Member]
 
 
 
Weighted Average Shares Outstanding:
 
 
 
Basic
70 
70 
70 
Net Income per Share from Continuing Operations Attributable to Tyson:
 
 
 
Basic (USD per share)
$ 2.26 
$ 2.22 
$ 1.57 
Net Loss Per Share from Discontinued Operation Attributable to Tyson:
 
 
 
Basic (USD per share)
$ 0.00 
$ (0.18)
$ (0.09)
Net Income Per Share Attributable to Tyson:
 
 
 
Basic (USD per share)
$ 2.26 
$ 2.04 
$ 1.48 
Dividends Declared Per Share:
 
 
 
Dividends Declared (USD per share)
$ 0.294 
$ 0.279 
$ 0.144 
Consolidated Statements of Comprehensive Income Statement (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Statement of Comprehensive Income [Abstract]
 
 
 
Net Income
$ 856 
$ 778 
$ 576 
Other Comprehensive Income (Loss), Net of Taxes:
 
 
 
Derivatives accounted for as cash flow hedges
1 
(14)
17 
Investments
4 
(3)
0 
Currency translation
(30)
(37)
3 
Postretirement benefits
(14)
9 
(4)
Total Other Comprehensive Income (Loss), Net of Taxes
(39)
(45)
16 
Comprehensive Income
817 
733 
592 
Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interests
(8)
0 
(7)
Comprehensive Income Attributable to Tyson
$ 825 
$ 733 
$ 599 
Consolidated Balance Sheets (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Assets
 
 
Cash and cash equivalents
$ 438 
$ 1,145 
Accounts receivable, net
1,684 
1,497 
Inventories
3,274 
2,817 
Other current assets
379 
145 
Assets held for sale
446 
0 
Total Current Assets
6,221 
5,604 
Net Property, Plant and Equipment
5,130 
4,053 
Goodwill
6,706 
1,902 
Intangible Assets
5,276 
138 
Other Assets
623 
480 
Total Assets
23,956 
12,177 
Liabilities and Shareholders’ Equity
 
 
Current debt
643 
513 
Accounts payable
1,806 
1,359 
Other current liabilities
1,207 
1,138 
Liabilities held for sale
141 
0 
Total Current Liabilities
3,797 
3,010 
Long-Term Debt
7,535 
1,895 
Deferred Income Taxes
2,450 
479 
Other Liabilities
1,270 
560 
Commitments and Contingencies (Note 20)
   
   
Shareholders' Equity:
 
 
Capital in excess of par value
4,257 
2,292 
Retained earnings
5,748 
4,999 
Accumulated other comprehensive loss
(147)
(108)
Treasury stock, at cost - 40 million shares in 2014 and 48 million shares in 2013
(1,010)
(1,021)
Total Tyson Shareholders’ Equity
8,890 
6,201 
Noncontrolling Interests
14 
32 
Total Shareholders’ Equity
8,904 
6,233 
Total Liabilities and Shareholders’ Equity
23,956 
12,177 
Class A [Member]
 
 
Shareholders' Equity:
 
 
Common stock ($0.10 par value):
35 
32 
Total Tyson Shareholders’ Equity
35 
32 
Class B [Member]
 
 
Shareholders' Equity:
 
 
Common stock ($0.10 par value):
7 
7 
Total Tyson Shareholders’ Equity
$ 7 
$ 7 
Consolidated Balance Sheets (Parentheticals) (USD $)
Sep. 27, 2014
Sep. 28, 2013
Treasury Stock, shares
40,000,000 
48,000,000 
Class A [Member]
 
 
Common stock, par value
$ 0.1 
$ 0.1 
Common stock, shares authorized
900,000,000 
900,000,000 
Common stock, shares issued
346,000,000 
322,000,000 
Class B [Member]
 
 
Common stock, par value
$ 0.1 
$ 0.1 
Common stock, shares authorized
900,000,000 
900,000,000 
Common stock, shares issued
70,000,000 
70,000,000 
Consolidated Statements Of Shareholders' Equity (USD $)
In Millions, unless otherwise specified
Total
USD ($)
Capital In Excess Of Par Value [Member]
USD ($)
Retained Earnings [Member]
USD ($)
Accumulated Other Comprehensive Income (Loss), Net Of Tax [Member]
USD ($)
Treasury Stock [Member]
USD ($)
Shareholders' Equity Attributable To Tyson [Member]
USD ($)
Equity Attributable To Noncontrolling Interests [Member]
USD ($)
2008 Warrants [Member]
Capital In Excess Of Par Value [Member]
USD ($)
2008 Warrants [Member]
Treasury Stock [Member]
USD ($)
3.25% Convertible senior notes due October 2013 [Member]
Capital In Excess Of Par Value [Member]
USD ($)
3.25% Convertible senior notes due October 2013 [Member]
Treasury Stock [Member]
USD ($)
Class A [Member]
USD ($)
Class A [Member]
2008 Warrants [Member]
Class A [Member]
3.25% Convertible senior notes due October 2013 [Member]
Class B [Member]
USD ($)
Balance at beginning of year, Shareholders' Equity Attributable to Noncontrolling Interest at Oct. 01, 2011
 
 
 
 
 
 
$ 28 
 
 
 
 
 
 
 
 
Balance at beginning of year, Shareholders' Equity Attributable to Tyson at Oct. 01, 2011
 
2,261 
3,801 
(79)
(365)
 
 
 
 
 
 
32 
 
 
7 
Balance at beginning of year, Common Stock shares at Oct. 01, 2011
 
 
 
 
 
 
 
 
 
 
 
322 
 
 
70 
Balance at beginning of year, Treasury Stock shares at Oct. 01, 2011
 
 
 
 
22 
 
 
 
 
 
 
 
 
 
 
Increase (Decrease) in Shareholders' Equity [Roll Forward]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Issuance of Class A common stock, shares
 
 
 
 
 
 
 
 
 
 
 
0 
 
 
 
Issuance of Class A common stock
 
0 
 
 
 
 
 
 
 
 
 
0 
 
 
 
Issuance of tangible equity units
 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
Convertible debt settlement
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
Convertible note hedge settlement
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
Warrant settlement
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
Stock-based compensation
 
17 
 
 
60 
 
 
 
 
 
 
 
 
 
 
Net income attributable to Tyson
583 
 
583 
 
 
 
 
 
 
 
 
 
 
 
 
Dividends
 
 
(57)
 
 
 
 
 
 
 
 
(47)
 
 
(10)
Other Comprehensive Income (Loss)
16 
 
 
16 
 
 
 
 
 
 
 
 
 
 
 
Purchase of Class A common stock, shares
 
 
 
 
14.0 
 
 
 
 
 
 
14.3 
 
 
 
Purchase of Class A common stock
 
 
 
 
(264)
 
 
 
 
 
 
 
 
 
 
Convertible debt settlement, shares
 
 
 
 
 
 
 
 
 
 
0 
 
 
 
 
Convertible note hedge settlement, shares
 
 
 
 
 
 
 
 
 
 
0 
 
 
 
 
Warrant settlement, shares
 
 
 
 
 
 
 
 
0 
 
 
 
 
 
 
Stock-based compensation, shares
 
 
 
 
(3)
 
 
 
 
 
 
 
 
 
 
Net loss attributable to noncontrolling interests
 
 
 
 
 
 
(7)
 
 
 
 
 
 
 
 
Contributions by noncontrolling interest
 
 
 
 
 
 
9 
 
 
 
 
 
 
 
 
Distributions to noncontrolling interest
 
 
 
 
 
 
0 
 
 
 
 
 
 
 
 
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Noncontrolling Interest
 
 
 
 
 
 
0 
 
 
 
 
 
 
 
 
Balance at end of year, Shareholders' Equity Attributable to Noncontrolling Interest at Sep. 29, 2012
 
 
 
 
 
 
30 
 
 
 
 
 
 
 
 
Balance at end of year, Shareholders' Equity Attributable to Tyson at Sep. 29, 2012
 
2,278 
4,327 
(63)
(569)
6,012 
 
 
 
 
 
32 
 
 
7 
Balance at end of year, Common Stock shares at Sep. 29, 2012
 
 
 
 
 
 
 
 
 
 
 
322 
 
 
70 
Balance at end of year, Treasury Stock shares at Sep. 29, 2012
 
 
 
 
33 
 
 
 
 
 
 
 
 
 
 
Increase (Decrease) in Shareholders' Equity [Roll Forward]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Issuance of Class A common stock, shares
 
 
 
 
 
 
 
 
 
 
 
0 
 
 
 
Issuance of Class A common stock
 
0 
 
 
 
 
 
 
 
 
 
0 
 
 
 
Issuance of tangible equity units
 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
Convertible debt settlement
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
Convertible note hedge settlement
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
Warrant settlement
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
Stock-based compensation
 
14 
 
 
162 
 
 
 
 
 
 
 
 
 
 
Net income attributable to Tyson
778 
 
778 
 
 
 
 
 
 
 
 
 
 
 
 
Dividends
 
 
(106)
 
 
 
 
 
 
 
 
(87)
 
 
(19)
Other Comprehensive Income (Loss)
(45)
 
 
(45)
 
 
 
 
 
 
 
 
 
 
 
Purchase of Class A common stock, shares
 
 
 
 
24.0 
 
 
 
 
 
 
23.9 
 
 
 
Purchase of Class A common stock
 
 
 
 
(614)
 
 
 
 
 
 
 
 
 
 
Convertible debt settlement, shares
 
 
 
 
 
 
 
 
 
 
0 
 
 
 
 
Convertible note hedge settlement, shares
 
 
 
 
 
 
 
 
 
 
0 
 
 
 
 
Warrant settlement, shares
 
 
 
 
 
 
 
 
0 
 
 
 
 
 
 
Stock-based compensation, shares
 
 
 
 
(9)
 
 
 
 
 
 
 
 
 
 
Net loss attributable to noncontrolling interests
 
 
 
 
 
 
0 
 
 
 
 
 
 
 
 
Contributions by noncontrolling interest
 
 
 
 
 
 
3 
 
 
 
 
 
 
 
 
Distributions to noncontrolling interest
 
 
 
 
 
 
0 
 
 
 
 
 
 
 
 
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Noncontrolling Interest
 
 
 
 
 
 
(1)
 
 
 
 
 
 
 
 
Balance at end of year, Shareholders' Equity Attributable to Noncontrolling Interest at Sep. 28, 2013
32 
 
 
 
 
 
32 
 
 
 
 
 
 
 
 
Balance at end of year, Shareholders' Equity Attributable to Tyson at Sep. 28, 2013
6,201 
2,292 
4,999 
(108)
(1,021)
6,201 
 
 
 
 
 
32 
 
 
7 
Balance at end of year, Common Stock shares at Sep. 28, 2013
 
 
 
 
 
 
 
 
 
 
 
322 
 
 
70 
Balance at end of year, Treasury Stock shares at Sep. 28, 2013
48 
 
 
 
48 
 
 
 
 
 
 
 
 
 
 
Increase (Decrease) in Shareholders' Equity [Roll Forward]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Issuance of Class A common stock, shares
 
 
 
 
 
 
 
 
 
 
 
24.0 
 
 
 
Issuance of Class A common stock
 
870 
 
 
 
 
 
 
 
 
 
3 
 
 
 
Issuance of tangible equity units
 
1,255 
 
 
 
 
 
 
 
 
 
 
 
 
 
Convertible debt settlement
 
 
 
 
 
 
 
 
 
(248)
248 
 
 
 
 
Convertible note hedge settlement
 
 
 
 
 
 
 
 
 
341 
(341)
 
 
 
 
Warrant settlement
 
 
 
 
 
 
 
(289)
289 
 
 
 
 
 
 
Stock-based compensation
 
36 
 
 
110 
 
 
 
 
 
 
 
 
 
 
Net income attributable to Tyson
864 
 
864 
 
 
 
 
 
 
 
 
 
 
 
 
Dividends
 
 
(115)
 
 
 
 
 
 
 
 
(94)
 
 
(21)
Other Comprehensive Income (Loss)
(39)
 
 
(39)
 
 
 
 
 
 
 
 
 
 
 
Purchase of Class A common stock, shares
 
 
 
 
8.0 
 
 
 
 
 
 
8.3 
 
 
 
Purchase of Class A common stock
 
 
 
 
(295)
 
 
 
 
 
 
 
 
 
 
Convertible debt settlement, shares
 
 
 
 
 
 
 
 
 
 
(12.0)
 
 
 
 
Convertible note hedge settlement, shares
 
 
 
 
 
 
 
 
 
 
12.0 
 
 
 
 
Warrant settlement, shares
 
 
 
 
 
 
 
 
(12.0)
 
 
 
(11.7)
 
 
Stock-based compensation, shares
 
 
 
 
(4)
 
 
 
 
 
 
 
 
 
 
Net loss attributable to noncontrolling interests
 
 
 
 
 
 
(8)
 
 
 
 
 
 
 
 
Contributions by noncontrolling interest
 
 
 
 
 
 
0 
 
 
 
 
 
 
 
 
Distributions to noncontrolling interest
 
 
 
 
 
 
(11)
 
 
 
 
 
 
 
 
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Noncontrolling Interest
 
 
 
 
 
 
1 
 
 
 
 
 
 
 
 
Balance at end of year, Shareholders' Equity Attributable to Noncontrolling Interest at Sep. 27, 2014
14 
 
 
 
 
 
14 
 
 
 
 
 
 
 
 
Balance at end of year, Shareholders' Equity Attributable to Tyson at Sep. 27, 2014
$ 8,890 
$ 4,257 
$ 5,748 
$ (147)
$ (1,010)
$ 8,890 
 
 
 
 
 
$ 35 
 
 
$ 7 
Balance at end of year, Common Stock shares at Sep. 27, 2014
 
 
 
 
 
 
 
 
 
 
 
346 
 
 
70 
Balance at end of year, Treasury Stock shares at Sep. 27, 2014
40 
 
 
 
40 
 
 
 
 
 
 
 
 
 
 
Consolidated Statements Of Cash Flows (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Cash Flows From Operating Activities:
 
 
 
Net income
$ 856 
$ 778 
$ 576 
Adjustments to reconcile net income to cash provided by operating activities:
 
 
 
Depreciation
494 
474 
443 
Amortization
36 
45 
56 
Deferred income taxes
(105)
(12)
140 
Convertible debt discount
(92)
0 
0 
Loss on early extinguishment of debt
0 
0 
167 
Impairment of assets
107 
74 
34 
Other, net
31 
26 
18 
Increase in accounts receivable
(93)
(126)
(69)
(Increase) decrease in inventories
(148)
15 
(259)
Increase (decrease) in accounts payable
202 
(12)
106 
Increase (decrease) in income taxes payable/receivable
(133)
80 
8 
Increase (decrease) in interest payable
5 
(1)
5 
Net changes in other working capital
18 
(27)
(38)
Cash Provided by Operating Activities
1,178 
1,314 
1,187 
Cash Flows from Investing Activities:
 
 
 
Additions to property, plant and equipment
(632)
(558)
(690)
Purchases of marketable securities
(18)
(135)
(58)
Proceeds from sale of marketable securities
33 
117 
47 
Acquisitions, net of cash acquired
(8,193)
(106)
0 
Other, net
10 
39 
41 
Cash Provided by (Used for) Investing Activities
(8,800)
(643)
(660)
Cash Flows from Financing Activities:
 
 
 
Payments on debt
(639)
(91)
(993)
Proceeds from issuance of long-term debt
5,576 
68 
1,116 
Proceeds from Issuance of Debt Component of Tangible Equity Units
205 
0 
0 
Proceeds from issuance of common stock, net of issuance costs
873 
0 
0 
Proceeds from issuance of equity component of tangible equity units
1,255 
0 
0 
Purchases of Tyson Class A common stock
(295)
(614)
(264)
Dividends
(104)
(104)
(57)
Stock options exercised
67 
123 
34 
Other, net
(23)
18 
(7)
Cash Provided by (Used for) Financing Activities
6,915 
(600)
(171)
Effect of Exchange Rate Change on Cash
0 
3 
(1)
Increase (Decrease) in Cash and Cash Equivalents
(707)
74 
355 
Cash and Cash Equivalents at Beginning of Year
1,145 
1,071 
716 
Cash and Cash Equivalents at End of Period
$ 438 
$ 1,145 
$ 1,071 
Business And Summary Of Significant Accounting Policies
Business And Summary Of Significant Accounting Policies
BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Description of Business: Tyson Foods, Inc. (collectively, “Company,” “we,” “us” or “our”), founded in 1935 with world headquarters in Springdale, Arkansas, is one of the world's largest producers of chicken, beef, pork and prepared foods that include leading brands such as Tyson®, Jimmy Dean®, Hillshire Farm®, Sara Lee® frozen bakery, Ball Park®, Wright®, Aidells® and State Fair®.
Consolidation: The consolidated financial statements include the accounts of all wholly-owned subsidiaries, as well as majority-owned subsidiaries over which we exercise control and, when applicable, entities for which we have a controlling financial interest or variable interest entities for which we are the primary beneficiary. All significant intercompany accounts and transactions have been eliminated in consolidation.
Fiscal Year: We utilize a 52- or 53-week accounting period ending on the Saturday closest to September 30. The Company’s accounting cycle resulted in a 52-week year for fiscal 2014, 2013 and 2012.
Cash and Cash Equivalents: Cash equivalents consist of investments in short-term, highly liquid securities having original maturities of three months or less, which are made as part of our cash management activity. The carrying values of these assets approximate their fair values. We primarily utilize a cash management system with a series of separate accounts consisting of lockbox accounts for receiving cash, concentration accounts where funds are moved to, and several zero-balance disbursement accounts for funding payroll, accounts payable, livestock procurement, grower payments, etc. As a result of our cash management system, checks issued, but not presented to the banks for payment, may result in negative book cash balances. These negative book cash balances are included in accounts payable and other current liabilities. At September 27, 2014, and September 28, 2013, checks outstanding in excess of related book cash balances totaled approximately $298 million and $246 million, respectively.
Accounts Receivable: We record accounts receivable at net realizable value. This value includes an appropriate allowance for estimated uncollectible accounts to reflect any loss anticipated on the accounts receivable balances and charged to the provision for doubtful accounts. We calculate this allowance based on our history of write-offs, level of past due accounts and relationships with and economic status of our customers. At September 27, 2014, and September 28, 2013, our allowance for uncollectible accounts was $34 million and $46 million, respectively. We generally do not have collateral for our receivables, but we do periodically evaluate the credit worthiness of our customers.
Inventories: Processed products, livestock and supplies and other are valued at the lower of cost or market. Cost includes purchased raw materials, live purchase costs, growout costs (primarily feed, grower pay and catch and haul costs), labor and manufacturing and production overhead, which are related to the purchase and production of inventories.
In fiscal 2014, 66% of the cost of inventories was determined by the first-in, first-out ("FIFO") method as compared to 58% in 2013. The remaining cost of inventories for both years is determined by the weighted-average method.
The following table reflects the major components of inventory at September 27, 2014, and September 28, 2013:
 
 
 
in millions

 
2014

 
2013

Processed products
$
1,794

 
$
1,423

Livestock
1,066

 
1,002

Supplies and other
414

 
392

Total inventory
$
3,274

 
$
2,817


Property, Plant and Equipment: Property, plant and equipment are stated at cost and generally depreciated on a straight-line method over the estimated lives for buildings and leasehold improvements of 10 to 33 years, machinery and equipment of three to 12 years and land improvements and other of three to 20 years. Major repairs and maintenance costs that significantly extend the useful life of the related assets are capitalized. Normal repairs and maintenance costs are charged to operations.
We review the carrying value of long-lived assets at each balance sheet date if indication of impairment exists. Recoverability is assessed using undiscounted cash flows based on historical results and current projections of earnings before interest and taxes. We measure impairment as the excess of carrying cost over the fair value of an asset. The fair value of an asset is measured using discounted cash flows including market participant assumptions of future operating results and discount rates.
Goodwill and Other Intangible Assets: Goodwill and indefinite life intangible assets are initially recorded at fair value and not amortized, but are reviewed for impairment at least annually or more frequently if impairment indicators arise. Our goodwill is allocated by reporting unit and is evaluated for impairment by first performing a qualitative assessment to determine whether a quantitative goodwill test is necessary. If it is determined, based on qualitative factors, the fair value of the reporting unit may be more likely than not less than carrying amount, or if significant changes to macro-economic factors related to the reporting unit have occurred that could materially impact fair value, a quantitative goodwill impairment test would be required. Additionally, we can elect to forgo the qualitative assessment and perform the quantitative test.
The first step of the quantitative test is to identify if a potential impairment exists by comparing the fair value of a reporting unit with its carrying amount, including goodwill. If the fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not considered to have a potential impairment and the second step of the quantitative impairment test is not necessary. However, if the carrying amount of a reporting unit exceeds its fair value, the second step is performed to determine if goodwill is impaired and to measure the amount of impairment loss to recognize, if any. The second step compares the implied fair value of goodwill with the carrying amount of goodwill. If the implied fair value of goodwill exceeds the carrying amount, then goodwill is not considered impaired. However, if the carrying amount of goodwill exceeds the implied fair value, an impairment loss is recognized in an amount equal to that excess. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination (i.e., the fair value of the reporting unit is allocated to all the assets and liabilities, including any unrecognized intangible assets, as if the reporting unit had been acquired in a business combination and the fair value of the reporting unit was determined as the exit price a market participant would pay for the same business). We have elected to make the first day of the fourth quarter the annual impairment assessment date for goodwill and other indefinite life intangible assets.
We estimate the fair value of our reporting units using a discounted cash flow analysis, which uses significant unobservable inputs, or Level 3 inputs, as defined by the fair value hierarchy. This analysis requires us to make various judgmental estimates and assumptions about sales, operating margins, growth rates and discount factors and is believed to reflect market participant views which would exist in an exit transaction. Generally, we utilize normalized operating margin assumptions based on future expectations and operating margins historically realized in the reporting units' industries. Some of the inherent estimates and assumptions used in determining fair value of the reporting units are outside the control of management, including interest rates, cost of capital, tax rates and credit ratings. While we believe we have made reasonable estimates and assumptions to calculate the fair value of the reporting units, it is possible a material change could occur. If our actual results are not consistent with our estimates and assumptions used to calculate fair value, we may be required to perform the second step of the quantitative test in future years, which could result in material impairments of our goodwill.
During fiscal 2014, 2013 and 2012, all of our material reporting units that underwent the quantitative test passed the first step of the goodwill impairment analysis and therefore, the second step was not necessary.
For our other indefinite life intangible assets, a qualitative assessment can also be performed to determine whether the existence of events and circumstances indicates it is more likely than not an intangible asset is impaired. Similar to goodwill, we can also elect to forgo the qualitative test for indefinite life intangible assets and perform the quantitative test. Upon performing the quantitative test, if the carrying value of the intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess.
The fair value of our indefinite life intangible assets is calculated principally using relief-from-royalty and excess earnings valuation approaches and is believed to reflect market participant views which would exist in an exit transaction. Under these valuation approaches, we are required to make estimates and assumptions about sales, operating margins, growth rates, royalty rates and discount rates based on budgets, business plans, economic projections, anticipated future cash flows and marketplace data.
Investments: We have investments in joint ventures and other entities. We generally use the cost method of accounting when our voting interests are less than 20 percent. We use the equity method of accounting when our voting interests are in excess of 20 percent and we do not have a controlling interest or a variable interest in which we are the primary beneficiary. Investments in joint ventures and other entities are reported in the Consolidated Balance Sheets in Other Assets.
We also have investments in marketable debt securities. We have determined all of our marketable debt securities are available-for-sale investments. These investments are reported at fair value based on quoted market prices as of the balance sheet date, with unrealized gains and losses, net of tax, recorded in other comprehensive income. The amortized cost of debt securities is adjusted for amortization of premiums and accretion of discounts to maturity. Such amortization is recorded in interest income. The cost of securities sold is based on the specific identification method. Realized gains and losses on the sale of debt securities and declines in value judged to be other than temporary are recorded on a net basis in other income. Interest and dividends on securities classified as available-for-sale are recorded in interest income.
Accrued Self-Insurance: We use a combination of insurance and self-insurance mechanisms in an effort to mitigate the potential liabilities for health and welfare, workers’ compensation, auto liability and general liability risks. Liabilities associated with our risks retained are estimated, in part, by considering claims experience, demographic factors, severity factors and other actuarial assumptions.
Other Current Liabilities: Other current liabilities at September 27, 2014 and September 28, 2013, include:
 
in millions
 
 
2014

 
2013

Accrued salaries, wages and benefits
$
490

 
$
419

Other
717

 
719

Total other current liabilities
$
1,207

 
$
1,138


Defined Benefit Plans: We recognize the funded status of defined pension and postretirement plans in the Consolidated Balance Sheets. The funded status is measured as the difference between the fair value of the plan assets and the benefit obligation. We measure our plan assets and liabilities at the end of our fiscal year. For a defined benefit pension plan, the benefit obligation is the projected benefit obligation; for any other defined benefit postretirement plan, such as a retiree health care plan, the benefit obligation is the accumulated postretirement benefit obligation. Any overfunded status is recognized as an asset and any underfunded status is recognized as a liability. Any transitional asset/liability, prior service cost or actuarial gain/loss that has not yet been recognized as a component of net periodic cost is recognized in accumulated other comprehensive income. Accumulated other comprehensive income will be adjusted as these amounts are subsequently recognized as a component of net periodic benefit costs in future periods.
Financial Instruments: We purchase certain commodities, such as grains and livestock in the course of normal operations. As part of our commodity risk management activities, we use derivative financial instruments, primarily futures and options, to reduce our exposure to various market risks related to these purchases, as well as to changes in foreign currency exchange rates. Contract terms of a financial instrument qualifying as a hedge instrument closely mirror those of the hedged item, providing a high degree of risk reduction and correlation. Contracts designated and highly effective at meeting risk reduction and correlation criteria are recorded using hedge accounting. If a derivative instrument is accounted for as a hedge, changes in the fair value of the instrument will be offset either against the change in fair value of the hedged assets, liabilities or firm commitments through earnings or recognized in other comprehensive income (loss) until the hedged item is recognized in earnings. The ineffective portion of an instrument’s change in fair value is immediately recognized in earnings as a component of cost of sales. Instruments we hold as part of our risk management activities that do not meet the criteria for hedge accounting are marked to fair value with unrealized gains or losses reported currently in earnings. Changes in market value of derivatives used in our risk management activities relating to forward sales contracts are recorded in sales, while changes surrounding inventories on hand or anticipated purchases of inventories or supplies are recorded in cost of sales. We generally do not hedge anticipated transactions beyond 18 months.
Revenue Recognition: We recognize revenue when title and risk of loss are transferred to customers, which is generally on delivery based on terms of sale. Revenue is recognized as the net amount estimated to be received after deducting estimated amounts for discounts, trade allowances and product terms.
Litigation Reserves: There are a variety of legal proceedings pending or threatened against us. Accruals are recorded when it is probable a liability has been incurred and the amount of the liability can be reasonably estimated based on current law, progress of each case, opinions and views of legal counsel and other advisers, our experience in similar matters and intended response to the litigation. These amounts, which are not discounted and are exclusive of claims against third parties, are adjusted periodically as assessment efforts progress or additional information becomes available. We expense amounts for administering or litigating claims as incurred. Accruals for legal proceedings are included in Other current liabilities in the Consolidated Balance Sheets.
Freight Expense: Freight expense associated with products shipped to customers is recognized in cost of sales.
Advertising and Promotion Expenses: Advertising and promotion expenses are charged to operations in the period incurred. Customer incentive and trade promotion activities are recorded as a reduction to sales based on amounts estimated as being due to customers, based primarily on historical utilization and redemption rates, while other advertising and promotional activities are recorded as selling, general and administrative expenses. Advertising and promotion expenses for fiscal 2014, 2013 and 2012 were $641 million, $555 million and $496 million, respectively.
Research and Development: Research and development costs are expensed as incurred. Research and development costs totaled $52 million, $50 million and $43 million in fiscal 2014, 2013 and 2012, respectively.
Use of Estimates: The consolidated financial statements are prepared in conformity with accounting principles generally accepted in the United States, which require us to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
Recently Issued Accounting Pronouncements: In May 2014, the Financial Accounting Standards Board (FASB) issued guidance changing the criteria for recognizing revenue. The guidance also modifies the related disclosure requirements, clarifies guidance for multiple-element arrangements and provides guidance for transactions that were not addressed fully in previous guidance. The guidance is effective for annual reporting periods and interim periods within those annual reporting periods beginning after December 15, 2016, our fiscal 2018. Early adoption is not permitted. The Company is currently evaluating the impact this guidance will have on our consolidated financial statements.
Changes In Accounting Principles
Changes In Accounting Principles
CHANGES IN ACCOUNTING PRINCIPLES
In December 2011 and February 2013, the FASB issued guidance enhancing disclosures related to offsetting of certain assets and liabilities. This guidance is effective for annual reporting periods beginning on or after January 1, 2013, and interim periods within those annual periods. We adopted this guidance in the first quarter of fiscal 2014. The adoption did not have a significant impact on our consolidated financial statements.
In April 2014, the FASB issued guidance changing the criteria for reporting discontinued operations. The guidance also modifies the related disclosure requirements. The guidance is effective on a prospective basis for annual reporting periods beginning after December 15, 2014, and interim periods within annual periods beginning on or after December 15, 2015. Early adoption is permitted and we adopted it in the third quarter of fiscal 2014. The adoption did not have a significant impact on our consolidated financial statements.
Acquisitions and Dispositions
Acquisitions and Dispositions
ACQUISITIONS AND DISPOSITIONS
Acquisitions
On August 28, 2014, we acquired all of the outstanding stock of The Hillshire Brands Company ("Hillshire Brands") as part of our strategic expansion initiative. The purchase price was equal to $63.00 per share for Hillshire Brands' outstanding common stock, or $8,081 million. In addition, we paid $163 million in cash for breakage costs incurred by Hillshire Brands related to a previously announced acquisition. We funded the acquisition with existing cash on hand, net proceeds from the issuance of new senior notes, Class A common stock (Class A stock), and tangible equity units as well as borrowings under a new term loan facility (refer to Note 7: Debt and Note 8: Equity). Hillshire Brands' results from operations subsequent to the acquisition closing are included in the Prepared Foods segment.
The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed at the acquisition date. Certain estimated values for the acquisition, including goodwill, intangible assets, plant property and equipment, and deferred taxes, are not yet finalized and the preliminary purchase price allocations are subject to change as we complete our analysis of the fair value at the date of acquisition.
 
in millions
 
Cash and cash equivalents
 
$
72

Accounts receivable
 
236

Inventories
 
421

Other current assets
 
344

Property, Plant and Equipment
 
1,306

Goodwill
 
4,804

Intangible Assets
 
5,141

Other Assets
 
45

Accounts payable
 
(347
)
Other current liabilities
 
(324
)
Long-Term Debt
 
(868
)
Deferred Income Taxes
 
(2,069
)
Other Liabilities
 
(517
)
Net asset acquired
 
$
8,244


The fair value of identifiable intangible assets is as follows:
 
 
 
 
 
 
in millions

Intangible Asset Category
 
Type
 
Life in Years
 
Fair Value
Brands & trademarks
 
Non-amortizable
 
Indefinite
 
$
4,062

Brands & trademarks
 
Amortizable
 
20 years
 
532

Customer relationships
 
Amortizable
 
Weighted average life of 16 years
 
541

Non-compete agreements
 
Amortizable
 
1 year
 
6

Total identifiable intangible assets
 
 
 
 
 
$
5,141


As a result of the acquisition, we recognized a total of $4,804 million of goodwill. The purchase price was assigned to assets acquired and liabilities assumed based on their estimated fair values as of the date of acquisition, and any excess was allocated to goodwill, as shown in the table above. Goodwill represents the value we expect to achieve through the implementation of operational synergies and growth opportunities primarily in our Prepared Foods segment. We do not expect the final fair value of goodwill to be deductible for U.S. income tax purposes.
We used various valuation techniques to determine fair value, with the primary techniques being discounted cash flow analysis, relief-from-royalty and excess earnings valuation approaches, which use significant unobservable inputs, or Level 3 inputs, as defined by the fair value hierarchy. Under these valuation approaches, we are required to make estimates and assumptions about sales, operating margins, growth rates, royalty rates and discount rates based on budgets, business plans, economic projections, anticipated future cash flows and marketplace data.
The acquisition of Hillshire Brands was accounted for using the acquisition method of accounting, and consequently, the results of operations for Hillshire Brands are reported in our consolidated financial statements from the date of acquisition. Hillshire Brands' one month results were insignificant to our Consolidated Statements of Income.
The following unaudited pro forma information presents the combined results of operations as if the acquisition of Hillshire Brands had occurred at the beginning of fiscal 2013. Hillshire Brands' pre-acquisition results have been added to our historical results. The pro forma results contained in the table below include adjustments for amortization of acquired intangibles, depreciation expense, interest expense related to the financing and related income taxes. Any potential cost savings or other operational efficiencies that could result from the acquisition are not included in these pro forma results.
The 2013 pro forma results include transaction related expenses incurred by Hillshire Brands prior to the acquisition of $168 million, including items such as consultant fees, accelerated stock compensation and other deal costs; transaction related expenses incurred by the Company of $115 million, including fees paid to third parties, financing costs and other deal costs; and $32 million expense related to the fair value inventory adjustment at the date of acquisition.
These pro forma results have been prepared for comparative purposes only and are not necessarily indicative of the results of operations as they would have been had the acquisitions occurred on the assumed dates, nor is it necessarily an indication of future operating results.
 
in millions  (unaudited)
 
 
2014

 
2013

Pro forma sales
$
41,311

 
$
38,195

Pro forma net income from continuing operations attributable to Tyson
1,047

 
655

Pro forma net income per diluted share from continuing operations attributable to Tyson
$
2.50

 
$
1.52


During the second quarter of fiscal 2014 we acquired a value-added food business as part of our strategic expansion initiative, which is included in our Prepared Foods segment. The aggregate purchase price of the acquisition was $56 million, which included $12 million for Property, Plant and Equipment, $27 million allocated to Intangible Assets and $18 million allocated to Goodwill.
During fiscal 2013, we acquired two value-added food businesses as part of our strategic expansion initiative, which are included in our Prepared Foods segment. The aggregate purchase price of the acquisitions was $106 million, which included $50 million for Property, Plant and Equipment, $41 million allocated to Intangible Assets and $12 million allocated to Goodwill.
Dispositions
On July 28, 2014, we announced our plan to sell our Brazil and Mexico operations, which are included in our International segment, to JBS SA ("JBS") for $575 million in cash. As a result, we conducted an impairment test and recorded a $39 million impairment charge in the fourth quarter of fiscal 2014 related to our Brazil operation. We expect to complete the sale of our Brazil operation in the first quarter of fiscal 2015. We expect to realize a gain on the sale of our Mexico operation, which is pending the necessary government approvals, and expect it to close in the first half of fiscal 2015. We have reclassified the assets and liabilities related to Mexico and Brazil to assets and liabilities held for sale in our 2014 Consolidated Balance Sheet.
The following table summarizes the net assets and liabilities held for sale:
 
in millions

 
2014

Assets held for sale:
 
Accounts receivable, net
$
74

Inventories
141

Other current assets
72

Net property, plant and equipment
132

Goodwill
16

Other assets
11

Total assets held for sale
$
446

Liabilities held for sale:
 
Current debt
$
32

Accounts payable
61

Other current liabilities
27

Long-term debt
9

Deferred income taxes
12

Total liabilities held for sale
$
141


In June 2014, we sold our 50 percent ownership interest of Dynamic Fuels LLC (Dynamic Fuels) for $30 million cash consideration at closing and up to $35 million in future cash payments contingent on Dynamic Fuels' production volumes over a period of up to 11.5 years. Additionally as part of the terms of the sale, we were released from our guarantee of the $100 million Gulf Opportunity Zone tax-exempt bonds, which were issued in October 2008 to fund a portion of the plant construction costs. Dynamic Fuels previously qualified as a variable interest entity which we consolidated, as we were the primary beneficiary. As a result of the sale, we deconsolidated Dynamic Fuels and recorded a gain of approximately $3 million, which is reflected in Cost of Sales in our Consolidated Statements of Income. We will recognize the future contingent payments in income as the required volumes are produced. At September 28, 2013, Dynamic Fuels had $166 million of total assets, of which $142 million was net property, plant and equipment, and $113 million of total liabilities, of which $100 million was long-term debt.
In fiscal 2014, we recorded impairment charges of $52 million related to the planned closure of three Prepared Foods plants. The Company’s Cherokee, Iowa plant closed in September 2014, while the Company’s plants in Buffalo, New York and Santa Teresa, New Mexico are expected to cease operations during the first half of calendar 2015. The impairment charges are reflected in the Consolidated Statements of Income in Cost of Sales. Additionally, in April 2014, Hillshire Brands announced that it will discontinue all production at its Florence, Alabama facility by December 30, 2014. The remaining closure costs are not expected to have a significant impact on the Company's financial results.
Discontinued Operation
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]
DISCONTINUED OPERATION
After conducting an assessment during fiscal 2013 of our long-term business strategy in China, we determined our Weifang operation (Weifang), which was previously part of our Chicken segment, was no longer core to the execution of our strategy given the capital investment it required to execute our future business plan. Consequently, we conducted an impairment test and recorded a $56 million impairment charge in the second quarter of fiscal 2013. We subsequently sold Weifang which resulted in reporting it as a discontinued operation. The sale was completed in July 2013 and did not result in a significant gain or loss as its carrying value approximated the sales proceeds at the time of sale. Weifang's prior periods results, including the impairment charge, have been reclassified and presented as a discontinued operation in our Consolidated Statements of Income. The following is a summary of the discontinued operation's results:
 
 
 
 
 
 
in millions

 
 
2014

 
2013

 
2012

Sales
 
$
—

 
$
108

 
$
223

 
 
 
 
 
 
 
Pretax loss
 
—

 
(68
)
 
(38
)
Income tax expense
 
—

 
2

 
—

Loss from discontinued operation, net of tax
 
$
—

 
$
(70
)
 
$
(38
)
Property, Plant And Equipment
Property, Plant And Equipment
PROPERTY, PLANT AND EQUIPMENT
The following table reflects major categories of property, plant and equipment and accumulated depreciation at September 27, 2014, and September 28, 2013:
 
in millions
 
 
2014

 
2013

Land
$
126

 
$
100

Building and leasehold improvements
3,501

 
2,945

Machinery and equipment
6,144

 
5,504

Land improvements and other
276

 
417

Buildings and equipment under construction
334

 
236

 
10,381

 
9,202

Less accumulated depreciation
5,251

 
5,149

Net property, plant and equipment
$
5,130

 
$
4,053


Approximately $661 million will be required to complete buildings and equipment under construction at September 27, 2014.
Goodwill And Other Intangible Assets
Goodwill And Other Intangible Assets
GOODWILL AND OTHER INTANGIBLE ASSETS
The following table reflects goodwill activity for fiscal 2014 and 2013:
in millions
 
 
Chicken

 
Beef

 
Pork

 
Prepared
Foods

 
International

 
Unallocated

 
Consolidated

Balance at September 29, 2012
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
$
909

 
$
1,123

 
$
317

 
$
63

 
$
68

 
$
—

 
$
2,480

Accumulated impairment losses
—

 
(560
)
 
—

 
—

 
(29
)
 
—

 
(589
)
 
909

 
563

 
317

 
63

 
39

 
—

 
1,891

Fiscal 2013 Activity:
 
 
 
 
 
 
 
 
 
 
 
 
 
Acquisition
—

 
—

 
—

 
12

 
—

 
—

 
12

Impairment losses
—

 
—

 
—

 
—

 
—

 
—

 
—

Currency translation and other
(1
)
 
—

 
—

 
—

 
—

 
—

 
(1
)
Balance at September 28, 2013
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
908

 
1,123

 
317

 
75

 
68

 
—

 
2,491

Accumulated impairment losses
—

 
(560
)
 
—

 
—

 
(29
)
 
—

 
(589
)
 
$
908

 
$
563

 
$
317

 
$
75

 
$
39

 
$
—

 
$
1,902

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fiscal 2014 Activity:
 
 
 
 
 
 
 
 
 
 
 
 
 
Acquisition
$
—

 
$
—

 
$
—

 
$
18

 
$
5

 
$
4,804

 
$
4,827

Reclass to assets held for sale
—

 
—

 
—

 
—

 
(16
)
 
—

 
(16
)
Impairment losses
—

 
—

 
—

 
—

 
(5
)
 
—

 
(5
)
Currency translation and other
(1
)
 
—

 
—

 
(1
)
 
—

 
—

 
(2
)
Balance at September 27, 2014
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
907

 
1,123

 
317

 
92

 
57

 
4,804

 
7,300

Accumulated impairment losses
—

 
(560
)
 
—

 
—

 
(34
)
 
—

 
(594
)
 
$
907

 
$
563

 
$
317

 
$
92

 
$
23

 
$
4,804

 
$
6,706


On August 28, 2014, we acquired and consolidated Hillshire Brands. The unallocated portion of goodwill is attributable to our acquisition of Hillshire Brands. The allocation of goodwill to our reportable segments is pending finalization of the expected synergies and the impact of the synergies to our reporting units.
The following table reflects other intangible assets by type at September 27, 2014, and September 28, 2013:
in millions
 
 
2014

 
2013

Amortizable intangible assets:
 
 
 
Brands and trademarks
$
611

 
$
69

Customer relationships
570

 
12

Patents, intellectual property and other
136

 
140

Non-compete agreements
6

 
—

Land use rights
8

 
8

  Total gross amortizable intangible assets
$
1,331

 
$
229

     Less accumulated amortization
133

 
107

  Total net amortizable intangible assets
$
1,198

 
$
122

Brands and trademarks not subject to amortization
4,078

 
16

  Total intangible assets
$
5,276

 
$
138


Beginning with the date benefits are realized, amortizable intangible assets are generally amortized using the straight-line method over their estimated period of benefit of 20 years or less. Amortization expense of $26 million, $17 million and $16 million was recognized during fiscal 2014, 2013 and 2012, respectively. We estimate amortization expense on intangible assets for the next five fiscal years subsequent to September 27, 2014, will be: 2015 - $94 million; 2016 - $85 million; 2017 - $80 million; 2018 - $79 million; 2019 - $75 million.
Debt
Debt
DEBT
The following table reflects major components of debt as of September 27, 2014, and September 28, 2013:
 
 
 
in millions

 
2014

 
2013

Revolving credit facility
$
—

 
$
—

Senior notes:
 
 
 
3.25% Convertible senior notes due October 2013 (2013 Notes)
—

 
458

2.75% Senior notes due September 2015 (2015 Notes)
407

 
—

6.60% Senior notes due April 2016 (2016 Notes)
638

 
638

7.00% Notes due May 2018
120

 
120

2.65% Notes due August 2019 (2019 Notes)
1,000

 
—

4.10% Notes due September 2020 (2020 Notes)
287

 
—

4.50% Senior notes due June 2022 (2022 Notes)
1,000

 
1,000

3.95% Notes due August 2024 (2024 Notes)
1,250

 
—

7.00% Notes due January 2028
18

 
18

6.13% Notes due November 2032 (2032 Notes)
164

 
—

4.88% Notes due August 2034 (2034 Notes)
500

 
—

5.15% Notes due August 2044 (2044 Notes)
500

 
—

Discount on senior notes
(12
)
 
(6
)
Term loan facility:
 
 
 
3-year tranche
1,172

 
—

5-year tranche A
353

 
—

5-year tranche B
552

 
—

Amortizing Notes - Tangible Equity Units (see Note 8: Equity)
205

 
—

GO Zone tax-exempt bonds
—

 
100

Other
24

 
80

Total debt
8,178

 
2,408

Less current debt
643

 
513

Total long-term debt
$
7,535

 
$
1,895


Annual maturities of debt for the five fiscal years subsequent to September 27, 2014, are: 2015 - $644 million; 2016 - $885 million; 2017 - $1,059 million; 2018 - $176 million; 2019 - $1,688 million.
Revolving Credit Facility
In September 2014, we amended our existing credit facility which, among other things, increased our line of credit from $1.0 billion to $1.25 billion. The facility supports short-term funding needs and letters of credit and will mature with the commitments thereunder terminating in September 2019. After reducing the amount available by outstanding letters of credit issued under this facility, the amount available for borrowing at September 27, 2014, was $1,209 million. At September 27, 2014, we had outstanding letters of credit issued under this facility totaling $41 million, none of which were drawn upon. We had an additional $105 million of bilateral letters of credit issued separately from the revolving credit facility, none of which were drawn upon. Our letters of credit are issued primarily in support of workers’ compensation insurance programs and derivative activities.
The revolving credit facility is unsecured and is fully guaranteed by Tyson Fresh Meats, Inc. (TFM Parent), our wholly owned subsidiary, until such date TFM Parent is released from all of its guarantees of other material indebtedness. If in the future any of our other subsidiaries shall guarantee any of our material indebtedness, such subsidiary shall also be required to guarantee the indebtedness, obligations and liabilities under this facility.
2013 Notes
In September 2008, we issued $458 million principal amount 3.25% convertible senior unsecured notes due October 15, 2013. In connection with the issuance of the 2013 Notes, we entered into separate call option and warrant transactions with respect to our Class A stock to minimize the potential economic dilution upon conversion of the 2013 Notes. The call options contractually expired upon the maturity of the 2013 Notes. The 2013 Notes matured on October 15, 2013 at which time we paid the $458 million principal value with cash on hand and settled the conversion premium by issuing 11.7 million shares of our Class A stock from available treasury shares. Simultaneously with the settlement of the conversion premium, we received 11.7 million shares of our Class A stock from the call options.
The warrants were settled on various dates in fiscal 2014 resulting in the issuance of 11.7 million shares of Class A stock.
2016 Notes
The 2016 Notes carry an interest rate at issuance of 6.60%, with an interest step up feature dependent on their credit rating. On June 7, 2012, Moody's upgraded the credit rating of these notes from "Ba1" to "Baa3." This upgrade decreased the interest rate on the 2016 Notes from 6.85% to 6.60%, effective beginning with the six-month interest payment due October 1, 2012.
On February 11, 2013, S&P upgraded the credit rating of the 2016 Notes from "BBB-" to "BBB." This upgrade did not impact the interest rate on the 2016 Notes.
2019 / 2024 / 2034 / 2044 Notes
In August 2014, we issued senior unsecured notes with an aggregate principal amount of $3,250 million, consisting of $1,000 million due August 2019, $1,250 million due August 2024, $500 million due August 2034, and $500 million due August 2044. The 2019 Notes, 2024 Notes, 2034 Notes, and 2044 Notes carry interest rates of 2.65%, 3.95%, 4.88% and 5.15%, respectively, with interest payments due semi-annually on August 15 and February 15. After the original issue discounts of $7 million, we received net proceeds of $3,243 million. In addition, we incurred offering expenses of $27 million.
2022 Notes
In June 2012, we issued $1.0 billion of senior unsecured notes, which will mature in June 2022. The 2022 Notes carry a 4.50% interest rate, with interest payments due semi-annually on June 15 and December 15. After the original issue discount of $5 million, based on an issue price of 99.458%, we received net proceeds of $995 million. In addition, we incurred offering expenses of $9 million.
Term Loan Facility
In August 2014, we borrowed under our unsecured term loan facility, which provided for total term loans in an aggregate principal amount of $2,300 million, consisting of a $1,202 million 3-year tranche facility, a $546 million 5-year tranche A facility, and a $552 million 5-year tranche B facility. The principal of the 3-year tranche facility and the 5-year tranche A facility each amortize at 2.5% per quarter. In addition, we incurred term loan issuance costs of approximately $11 million.
2015 / 2020 / 2032 Notes
In August 2014 and in connection with our acquisition of Hillshire Brands, we assumed $840 million of Hillshire Brands' debt, which had an estimated fair value of approximately $868 million as of the acquisition date. We recorded the assumed debt at fair value. This fair value adjustment will be amortized as a reduction of interest expense in future periods. The debt assumed is mainly comprised of senior unsecured notes which consist of $400 million due September 2015, $278 million due September 2020, and $152 million due November 2032. The 2015 Notes, 2020 Notes, and the 2032 Notes carry interest rates of 2.75%, 4.10%, and 6.13%, respectively.
GO Zone Tax-Exempt Bonds
In October 2008, Dynamic Fuels received $100 million in proceeds from the sale of Gulf Opportunity Zone tax-exempt bonds made available by the federal government to the regions affected by Hurricanes Katrina and Rita in 2005. As further described in Note 3: Acquisitions and Dispositions, we sold our interest in Dynamic Fuels in fiscal 2014, which resulted in the deconsolidation of its assets and liabilities, including these bonds.
Debt Covenants
Our revolving credit facility contains affirmative and negative covenants that, among other things, may limit or restrict our ability to: create liens and encumbrances; incur debt; merge, dissolve, liquidate or consolidate; make acquisitions and investments; dispose of or transfer assets; change the nature of our business; engage in certain transactions with affiliates; and enter into hedging transactions, in each case, subject to certain qualifications and exceptions. In addition, we are required to maintain minimum interest expense coverage and maximum debt to capitalization ratios.
Our senior notes and term loans also contain affirmative and negative covenants that, among other things, may limit or restrict our ability to: create liens; engage in certain sale/leaseback transactions; and engage in certain consolidations, mergers and sales of assets.
We were in compliance with all debt covenants at September 27, 2014.
Equity
Equity
EQUITY
Capital Stock
We have two classes of capital stock, Class A stock, $0.10 par value and Class B Common Stock, $0.10 par value (Class B stock). Holders of Class B stock may convert such stock into Class A stock on a share-for-share basis. Holders of Class B stock are entitled to 10 votes per share, while holders of Class A stock are entitled to one vote per share on matters submitted to shareholders for approval. As of September 27, 2014, Tyson Limited Partnership (the TLP) owned 99.985% of the outstanding shares of Class B stock and the TLP and members of the Tyson family owned, in the aggregate, 1.78% of the outstanding shares of Class A stock, giving them, collectively, control of approximately 70.14% of the total voting power of the outstanding voting stock.
The Class B stock is considered a participating security requiring the use of the two-class method for the computation of basic earnings per share. The two-class computation method for each period reflects the cash dividends paid for each class of stock, plus the amount of allocated undistributed earnings (losses) computed using the participation percentage, which reflects the dividend rights of each class of stock. Basic earnings per share were computed using the two-class method for all periods presented. The shares of Class B stock are considered to be participating convertible securities since the shares of Class B stock are convertible on a share-for-share basis into shares of Class A stock. Diluted earnings per share were computed assuming the conversion of the Class B shares into Class A shares as of the beginning of each period.
Dividends
Cash dividends cannot be paid to holders of Class B stock unless they are simultaneously paid to holders of Class A stock. The per share amount of the cash dividend paid to holders of Class B stock cannot exceed 90% of the cash dividend simultaneously paid to holders of Class A stock. We pay quarterly cash dividends to Class A and Class B shareholders. We paid Class A dividends per share of $0.30 and Class B dividends per share of $0.27 in fiscal 2014 and 2013, respectively. Fiscal 2013 included a special dividend of $0.10 per share for Class A stock and $0.09 per share for Class B. We paid Class A dividends per share of $0.16 and Class B dividends per share of $0.144 in fiscal 2012. On November 13, 2014, the Board of Directors increased the quarterly dividend previously declared on July 30, 2014, to $0.10 per share on our Class A stock and $0.09 per share on our Class B stock. The increased quarterly dividend is payable on December 15, 2014, to shareholders of record at the close of business on December 1, 2014.
Share Repurchases
On January 30, 2014, our Board of Directors approved an increase of 25 million shares authorized for repurchase under our share repurchase program. As of September 27, 2014, 32.1 million shares remained available for repurchase. The share repurchase program has no fixed or scheduled termination date and the timing and extent to which we repurchase shares will depend upon, among other things, our working capital needs, market conditions, liquidity targets, our debt obligations and regulatory requirements. In addition to the share repurchase program, we purchase shares on the open market to fund certain obligations under our equity compensation plans.
A summary of cumulative share repurchases of our Class A Stock is as follows:
 
 
 
 
 
 
 
 
 
 
in millions
 
 
 
September 27, 2014
 
September 28, 2013
 
September 29, 2012
 
 
Shares
 
Dollars
 
Shares
 
Dollars
 
Shares
 
Dollars
Shares repurchased:
 
 
 
 
 
 
 
 
 
 
 
 
Under share repurchase program
 
7.1

 
$
250

 
21.1

 
$
550

 
12.5

 
$
230

To fund certain obligations under equity compensation plans
 
1.2

 
45

 
2.8

 
64

 
1.8

 
34

Total share repurchases
 
8.3

 
$
295

 
23.9

 
$
614

 
14.3

 
$
264


Share Issuance
In fiscal 2014, we issued 23.8 million shares of our Class A stock, to provide funding for the Hillshire Brands acquisition. Total proceeds, net of underwriting discounts and other offering related fees and expenses were $873 million.
Tangible Equity Units
In July 2014, we completed the public issuance of 30 million, 4.75% tangible equity units (TEUs). Total proceeds, net of underwriting discounts and other expenses, were $1,454 million. Each TEU, which has a stated amount of $50, is comprised of a prepaid stock purchase contract and a senior amortizing note due July 15, 2017. We allocated the proceeds from the issuance of the TEUs to equity and debt based on the relative fair values of the respective components of each TEU. The fair value of the prepaid stock purchase contracts, which was $1,295 million, is recorded in Capital in Excess of Par Value, net of issuance costs. The fair value of the senior amortizing notes, which was $205 million, is recorded in debt, of which $65 million is current. Issuance costs associated with the TEU debt was recorded as deferred financing costs in the Consolidated Balance Sheets in Other Assets and is amortized over the term of the instrument to July 15, 2017.
The aggregate values assigned upon issuance of each component of the TEU's, based on the relative fair value of the respective components of each TEU, were as follows:
 
 
 
in millions, except price per TEU
 
 
Equity Component
 
Debt Component
 
Total
Price per TEU
$
43.17

 
$
6.83

 
$
50.00

Gross Proceeds
1,295

 
205

 
1,500

Issuance cost
(40
)
 
(6
)
 
(46
)
Net proceeds
$
1,255

 
$
199

 
$
1,454


Each senior amortizing note has an initial principal amount of $6.83 and bears interest at 1.5% per annum. On each January 15, April 15, July 15 and October 15, commencing on October 15, 2014, we will pay equal quarterly cash installments of $0.59 per amortizing note (except for the October 15, 2014 installment payment, which will be $0.46 per amortizing note), which cash payment in the aggregate (principal and interest) is equivalent to 4.75% per year with respect to the $50 stated amount per TEU. Each installment will constitute a payment of interest and partial repayment of principal. Unless settled earlier at the holder's or the Company's option, each purchase contract will automatically settle on July 15, 2017, subject to postponement in certain limited circumstances. We will deliver between a minimum of 31.7 million shares and a maximum of 39.7 million shares of our Class A stock, subject to adjustment, based upon the Applicable Market Value (as defined below) of our Class A stock as described below:
•
If the Applicable Market Value is equal to or greater than the conversion price of $47.25 per share, we will deliver 1.0582 shares of Class A stock per purchase contract, or a minimum of 31.7 million Class A shares.
•
If the Applicable Market Value is greater than the reference price of $37.80 but less than the conversion price of $47.25 per share, we will deliver a number of shares per purchase contract equal to $50, divided by the Applicable Market Value.
•
If the Applicable Market Value is less than or equal to the reference price of $37.80 per share, we will deliver 1.3228 shares of Class A stock per purchase contract, or a maximum of 39.7 million Class A shares.
The "Applicable Market Value" means the average of the closing prices of our Class A stock on each of the 20 consecutive trading days beginning on, and including, the 23rd scheduled trading day immediately preceding July 15, 2017.
The TEUs have a dilutive effect on our earnings per share. The 31.7 million minimum shares to be issued are included in the calculation of Class A Basic weighted average shares. The 8 million share difference between the minimum shares and the 39.7 million maximum shares are potentially dilutive securities, and accordingly, are included in our diluted earnings per share on a pro rata basis to the extent the Applicable Market Value is higher than the reference price but is less than the conversion price.
Income Taxes
Income Taxes
INCOME TAXES
Detail of the provision for income taxes from continuing operations consists of the following:
 
 
 
 
 
in millions  

 
2014

 
2013

 
2012

Federal
$
325

 
$
341

 
$
310

State
67

 
38

 
22

Foreign
4

 
30

 
19

 
$
396

 
$
409

 
$
351

 
 
 
 
 
 
Current
$
501

 
$
421

 
$
211

Deferred
(105
)
 
(12
)
 
140

 
$
396

 
$
409

 
$
351


The reasons for the difference between the statutory federal income tax rate and our effective income tax rate from continuing operations are as follows:
 
2014

 
2013

 
2012

Federal income tax rate
35.0
 %
 
35.0
 %
 
35.0
 %
State income taxes
2.8

 
2.4

 
1.5

Unrecognized tax benefits, net
(4.7
)
 
(0.2
)
 
0.6

Domestic production deduction
(4.0
)
 
(3.2
)
 
(1.8
)
Foreign rate differences and valuation allowances
2.8

 
0.3

 
1.8

Other
(0.3
)
 
(1.7
)
 
(0.7
)
 
31.6
 %
 
32.6
 %
 
36.4
 %


During fiscal 2014, the domestic production deduction and the decrease in unrecognized tax benefits decreased tax expense by $50 million and $58 million, respectively.
During fiscal 2013, the domestic production deduction and estimated general business credits decreased tax expense by $40 million and $17 million, respectively.
During fiscal 2012, foreign valuation allowances increased tax expense by $10 million, and the domestic production deduction decreased tax expense by $17 million.
Approximately $18 million of loss and $53 million and $2 million of income from continuing operations before income taxes for fiscal 2014, 2013 and 2012, respectively, were from operations based in countries other than the United States.
We recognize deferred income taxes for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled.
The tax effects of major items recorded as deferred tax assets and liabilities as of September 27, 2014, and September 28, 2013, are as follows:
 
 
 
 
 
 
 
in millions

 
2014
 
2013
 
Deferred Tax
 
Deferred Tax
 
Assets

 
Liabilities

 
Assets

 
Liabilities

Property, plant and equipment
$
—

 
$
732

 
$
—

 
$
525

Suspended taxes from conversion to accrual method
—

 
66

 
—

 
71

Intangible assets
—

 
2,031

 
—

 
29

Inventory
24

 
121

 
8

 
110

Accrued expenses
474

 
—

 
209

 
—

Net operating loss and other carryforwards
96

 
—

 
77

 
—

Insurance reserves
21

 
—

 
22

 
—

Other
80

 
82

 
60

 
98

 
$
695

 
$
3,032

 
$
376

 
$
833

Valuation allowance
$
(51
)
 
 
 
$
(77
)
 
 
Net deferred tax liability
 
 
$
2,388

 
 
 
$
534


We record deferred tax amounts in Other current assets, Other Assets, Other current liabilities and Deferred Income Taxes in the Consolidated Balance Sheets.
The deferred tax liability for suspended taxes from conversion to accrual method represents the 1987 change from the cash to accrual method of accounting and will be recognized by 2027.
The deferred tax liability for intangible assets increased over prior year due to the acquisition of Hillshire Brands.
At September 27, 2014, our gross state tax net operating loss carryforwards approximated $1.3 billion and expire in fiscal years 2015 through 2034. Gross foreign net operating loss carryforwards approximated $146 million, of which $50 million expire in fiscal years 2017 through 2024, and the remainder has no expiration. We also have tax credit carryforwards of approximately $25 million that expire in fiscal years 2015 through 2028.
We have accumulated undistributed earnings of foreign subsidiaries aggregating approximately $403 million and $351 million at September 27, 2014, and September 28, 2013, respectively. During fiscal 2014, the Company changed its permanent reinvestment assertion with respect to $183 million of earnings related to its poultry operations in Mexico and Brazil due to the planned sale of those operations and repatriation of the related proceeds, and as a result we recorded expense, net of foreign tax credits, of $17 million. With respect to the remaining $220 million of undistributed earnings for all other foreign subsidiaries at September 27, 2014, these earnings are expected to be indefinitely reinvested outside of the United States. If those earnings were distributed in the form of dividends or otherwise, we could be subject to federal income taxes (subject to an adjustment for foreign tax credits), state income taxes and withholding taxes payable to the various foreign countries. It is not currently practicable to estimate the tax liability that might be payable on the repatriation of these foreign earnings.
The following table summarizes the activity related to our gross unrecognized tax benefits at September 27, 2014, September 28, 2013, and September 29, 2012:
 
 
 
 
 
in millions

 
2014

 
2013

 
2012

Balance as of the beginning of the year
$
175

 
$
168

 
$
174

Increases related to current year tax positions
11

 
3

 
3

Increases related to prior year tax positions
17

 
15

 
5

Increases related to Hillshire Brands balances
136

 
—

 
—

Reductions related to prior year tax positions
(20
)
 
(6
)
 
(10
)
Reductions related to settlements
(1
)
 
(2
)
 
(1
)
Reductions related to expirations of statute of limitations
(46
)
 
(3
)
 
(3
)
Balance as of the end of the year
$
272

 
$
175

 
$
168

The amount of unrecognized tax benefits, if recognized, that would impact our effective tax rate was $241 million and $149 million at September 27, 2014, and September 28, 2013, respectively. We classify interest and penalties on unrecognized tax benefits as income tax expense. At September 27, 2014, and September 28, 2013, before tax benefits, we had $54 million and $63 million, respectively, of accrued interest and penalties on unrecognized tax benefits.
As of September 27, 2014, we are subject to income tax examinations for U.S. federal income taxes for fiscal years 2011 through 2013. We are also subject to income tax examinations by major state and foreign jurisdictions for fiscal years 2005 through 2013 and 2002 through 2013, respectively. We estimate that during the next twelve months it is reasonably possible that unrecognized tax benefits could decrease by as much as $30 million primarily due to expiration of statutes in various jurisdictions.
Other Income And Charges
Other Income And Charges
OTHER INCOME AND CHARGES
During fiscal 2014, we recorded $11 million of equity earnings in joint ventures, $3 million in net foreign currency exchange gains, $6 million of other than temporary impairment related to an available-for-sale security and $60 million of costs associated with bridge financing facilities for the Hillshire Brands acquisition, which were recorded in the Consolidated Statements of Income in Other, net.
During fiscal 2013, we recorded a $19 million currency translation adjustment gain recognized in conjunction with the receipt of proceeds constituting the final resolution of our investment in Canada, which was recorded in the Consolidated Statements of Income in Other, net.
During fiscal 2012, we recorded $16 million of equity earnings in joint ventures and $4 million in net foreign currency exchange gains, which were recorded in the Consolidated Statements of Income in Other, net.
Earnings Per Share
Earnings Per Share
EARNINGS PER SHARE
The earnings and weighted average common shares used in the computation of basic and diluted earnings per share are as follows:
 
in millions, except per share data
 
 
2014

 
2013

 
2012

Numerator:
 
 
 
 
 
Income from continuing operations
$
856

 
$
848

 
$
614

Less: Net loss attributable to noncontrolling interests
(8
)
 
—

 
(7
)
Net income from continuing operations attributable to Tyson
864

 
848

 
621

Less dividends declared:
 
 
 
 
 
Class A
94

 
87

 
47

Class B
21

 
19

 
10

Undistributed earnings
$
749

 
$
742

 
$
564

 
 
 
 
 
 
Class A undistributed earnings
$
612

 
$
606

 
$
464

Class B undistributed earnings
137

 
136

 
100

Total undistributed earnings
$
749

 
$
742

 
$
564

 
 
 
 
 
 
Denominator:
 
 
 
 
 
Denominator for basic earnings per share:
 
 
 
 
 
Class A weighted average shares
284

 
282

 
293

Class B weighted average shares, and shares under if-converted method for diluted earnings per share
70

 
70

 
70

Effect of dilutive securities:
 
 
 
 
 
Stock options and restricted stock
5

 
5

 
4

Tangible Equity Units
1

 
—

 
—

Convertible 2013 Notes
—

 
7

 
3

Warrants
4

 
3

 
—

Denominator for diluted earnings per share – adjusted weighted average shares and assumed conversions
364

 
367

 
370

 
 
 
 
 
 
Net Income Per Share from Continuing Operations Attributable to Tyson:
 
 
 
 
Class A Basic
$
2.48

 
$
2.46

 
$
1.75

Class B Basic
$
2.26

 
$
2.22

 
$
1.57

Diluted
$
2.37

 
$
2.31

 
$
1.68

 
 
 
 
 
 
Net Income Per Share Attributable to Tyson:
 
 
 
 
 
Class A Basic
$
2.48

 
$
2.26

 
$
1.64

Class B Basic
$
2.26

 
$
2.04

 
$
1.48

Diluted
$
2.37

 
$
2.12

 
$
1.58


We had approximately 4 million of our stock-based compensation shares that were antidilutive for fiscal 2014, no stock-based compensation shares that were antidilutive for fiscal 2013 and approximately 4 million of our stock-based compensation shares that were antidilutive for fiscal 2012. These shares were not included in the dilutive earnings per share calculation.
We have two classes of capital stock, Class A stock and Class B stock. Cash dividends cannot be paid to holders of Class B stock unless they are simultaneously paid to holders of Class A stock. The per share amount of cash dividends paid to holders of Class B stock cannot exceed 90% of the cash dividends paid to holders of Class A stock.
We allocate undistributed earnings based upon a 1 to 0.9 ratio per share to Class A stock and Class B stock, respectively. We allocate undistributed earnings based on this ratio due to historical dividend patterns, voting control of Class B shareholders and contractual limitations of dividends to Class B stock.
Derivative Financial Instruments
Derivative Financial Instruments
DERIVATIVE FINANCIAL INSTRUMENTS
Our business operations give rise to certain market risk exposures mostly due to changes in commodity prices, foreign currency exchange rates and interest rates. We manage a portion of these risks through the use of derivative financial instruments, primarily futures and options, to reduce our exposure to commodity price risk, foreign currency risk and interest rate risk. Forwards on various commodities, including grains, livestock and energy, are primarily entered into to manage the price risk associated with forecasted purchases of these inputs used in our production processes. Foreign exchange forward contracts are entered into to manage the fluctuations in foreign currency exchange rates, primarily as a result of certain receivable and payable balances. We also periodically utilize interest rate swaps to manage interest rate risk associated with our variable-rate borrowings.
Our risk management programs are periodically reviewed by our Board of Directors’ Audit Committee. These programs are monitored by senior management and may be revised as market conditions dictate. Our current risk management programs utilize industry-standard models that take into account the implicit cost of hedging. Risks associated with our market risks and those created by derivative instruments and the fair values are strictly monitored, using Value-at-Risk and stress tests. Credit risks associated with our derivative contracts are not significant as we minimize counterparty concentrations, utilize margin accounts or letters of credit, and deal with credit-worthy counterparties. Additionally, our derivative contracts are mostly short-term in duration and we generally do not make use of credit-risk-related contingent features. No significant concentrations of credit risk existed at September 27, 2014.
We recognize all derivative instruments as either assets or liabilities at fair value in the Consolidated Balance Sheets, with the exception of normal purchases and normal sales expected to result in physical delivery. The accounting for changes in the fair value (i.e., gains or losses) of a derivative instrument depends on whether it has been designated and qualifies as part of a hedging relationship and the type of hedging relationship. For those derivative instruments that are designated and qualify as hedging instruments, we designate the hedging instrument based upon the exposure being hedged (i.e., cash flow hedge or fair value hedge). We qualify, or designate, a derivative financial instrument as a hedge when contract terms closely mirror those of the hedged item, providing a high degree of risk reduction and correlation. If a derivative instrument is accounted for as a hedge, depending on the nature of the hedge, changes in the fair value of the instrument either will be offset against the change in fair value of the hedged assets, liabilities or firm commitments through earnings, or be recognized in other comprehensive income (loss) (OCI) until the hedged item is recognized in earnings. The ineffective portion of an instrument’s change in fair value is recognized in earnings immediately. We designate certain forward contracts as follows:
•
Cash Flow Hedges – include certain commodity forward and option contracts of forecasted purchases (i.e., grains) and certain foreign exchange forward contracts.
•
Fair Value Hedges – include certain commodity forward contracts of firm commitments (i.e., livestock).
Cash flow hedges
Derivative instruments, such as futures and options, are designated as hedges against changes in the amount of future cash flows related to procurement of certain commodities utilized in our production processes. We do not purchase forward and option commodity contracts in excess of our physical consumption requirements and generally do not hedge forecasted transactions beyond 18 months. The objective of these hedges is to reduce the variability of cash flows associated with the forecasted purchase of those commodities. For the derivative instruments we designate and qualify as a cash flow hedge, the effective portion of the gain or loss on the derivative is reported as a component of OCI and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Gains and losses representing hedge ineffectiveness are recognized in earnings in the current period. Ineffectiveness related to our cash flow hedges was not significant during fiscal 2014, 2013 and 2012.
We had the following aggregated notional values of outstanding forward and option contracts accounted for as cash flow hedges:
 
 
 
 
in millions, except soy meal tons
 
 
 
Metric
 
September 27, 2014

 
September 28, 2013

Commodity:
 
 
 
 
 
 
Corn
 
Bushels
 
—

 
5

Soy Meal
 
Tons
 
2,300

 
96,800

Foreign Currency
 
United States dollar
 
$
1

 
$
60


As of September 27, 2014, the net amounts expected to be reclassified into earnings within the next 12 months are pretax losses of $4 million related to grain. During fiscal 2014, 2013 and 2012, we did not reclassify significant pretax gains/losses into earnings as a result of the discontinuance of cash flow hedges due to the probability the original forecasted transaction would not occur by the end of the originally specified time period or within the additional period of time allowed by generally accepted accounting principles.

The following table sets forth the pretax impact of cash flow hedge derivative instruments in the Consolidated Statements of Income:
 
 
 
 
 
 
 
 
 
 
 
in millions
 
 
Gain/(Loss)
Recognized in OCI
on Derivatives
 
 
Consolidated
Statements of Income
Classification
 
Gain/(Loss)
Reclassified from
OCI to Earnings
 
 
2014

 
2013

 
2012

 
 
 
2014

 
2013

 
2012

Cash Flow Hedge – Derivatives designated as hedging instruments:
 
 
 
 
 
 
 
 
 
 
 
 
 
Commodity contracts
$
(7
)
 
$
(29
)
 
$
24

 
Cost of Sales
 
$
(10
)
 
$
(5
)
 
$
(16
)
Foreign exchange contracts
(1
)
 
(2
)
 
(8
)
 
Other Income/Expense
 
—

 
(4
)
 
4

Total
$
(8
)
 
$
(31
)
 
$
16

 
 
 
$
(10
)
 
$
(9
)
 
$
(12
)

Fair value hedges
We designate certain futures contracts as fair value hedges of firm commitments to purchase livestock for slaughter. Our objective of these hedges is to minimize the risk of changes in fair value created by fluctuations in commodity prices associated with fixed price livestock firm commitments. We had the following aggregated notional values of outstanding forward contracts entered into to hedge firm commitments which are accounted for as a fair value hedge:
 
 
 
 
 
 
in millions

 
 
Metric
 
September 27, 2014

 
September 28, 2013

Commodity:
 
 
 
 
 
 
Live Cattle
 
Pounds
 
427

 
209

Lean Hogs
 
Pounds
 
329

 
384


For these derivative instruments we designate and qualify as a fair value hedge, the gain or loss on the derivative, as well as the offsetting gain or loss on the hedged item attributable to the hedged risk, are recognized in earnings in the same period. We include the gain or loss on the hedged items (i.e., livestock purchase firm commitments) in the same line item, Cost of Sales, as the offsetting gain or loss on the related livestock forward position.
 
 
in millions
 
 
 
Consolidated
Statements of Income
Classification
 
2014

 
2013

 
2012

Gain/(Loss) on forwards
 
Cost of Sales
 
$
(154
)
 
$
21

 
$
47

Gain/(Loss) on purchase contract
 
Cost of Sales
 
154

 
(21
)
 
(47
)

Ineffectiveness related to our fair value hedges was not significant during fiscal 2014, 2013 and 2012.
Undesignated positions
In addition to our designated positions, we also hold forward and option contracts for which we do not apply hedge accounting. These include certain derivative instruments related to commodities price risk, including grains, livestock, energy and foreign currency risk. We mark these positions to fair value through earnings at each reporting date. We generally do not enter into undesignated positions beyond 18 months.
The objective of our undesignated grains, livestock and energy commodity positions is to reduce the variability of cash flows associated with the forecasted purchase of certain grains, energy and livestock inputs to our production processes. We also enter into certain forward sales of boxed beef and boxed pork and forward purchases of cattle and hogs at fixed prices. The fixed price sales contracts lock in the proceeds from a future sale and the fixed cattle and hog purchases lock in the cost. However, the cost of the livestock and the related boxed beef and boxed pork market prices at the time of the sale or purchase could vary from this fixed price. As we enter into fixed forward sales of boxed beef and boxed pork and forward purchases of cattle and hogs, we also enter into the appropriate number of livestock options and futures positions to mitigate a portion of this risk. Changes in market value of the open livestock options and futures positions are marked to market and reported in earnings at each reporting date, even though the economic impact of our fixed prices being above or below the market price is only realized at the time of sale or purchase. These positions generally do not qualify for hedge treatment due to location basis differences between the commodity exchanges and the actual locations when we purchase the commodities.
We have a foreign currency cash flow hedging program to hedge portions of forecasted transactions denominated in foreign currencies, primarily with forward and option contracts, to protect against the reduction in value of forecasted foreign currency cash flows. Our undesignated foreign currency positions generally would qualify for cash flow hedge accounting. However, to reduce earnings volatility, we normally will not elect hedge accounting treatment when the position provides an offset to the underlying related transaction that impacts current earnings.
We had the following aggregate outstanding notional values related to our undesignated positions:
 
 
 
 
in millions, except soy meal tons
 
 
 
Metric
 
September 27, 2014

 
September 28, 2013

Commodity:
 
 
 
 
 
 
Corn
 
Bushels
 
—

 
69

Soy Meal
 
Tons
 
195,800

 
204,600

Soy Oil
 
Pounds
 
3

 
11

Live Cattle
 
Pounds
 
22

 
60

Lean Hogs
 
Pounds
 
22

 
159

Foreign Currency
 
United States dollars
 
$
108

 
$
95


The following table sets forth the pretax impact of the undesignated derivative instruments in the Consolidated Statements of Income:
 
 
 
 
in millions
 
 
 
Consolidated
Statements of Income
Classification
 
Gain/(Loss)
Recognized
in Earnings
 
 
 
 
 
2014

 
2013

 
2012

Derivatives not designated as hedging instruments:
 
 
 
 
 
 
 
 
Commodity contracts
 
Sales
 
$
75

 
$
(10
)
 
$
(10
)
Commodity contracts
 
Cost of Sales
 
(136
)
 
(24
)
 
51

Foreign exchange contracts
 
Other Income/Expense
 
—

 
2

 
—

Total
 
 
 
$
(61
)
 
$
(32
)
 
$
41


The following table sets forth the fair value of all derivative instruments outstanding in the Consolidated Balance Sheets:
 
in millions
 
 
Fair Value
 
September 27, 2014

 
September 28, 2013

Derivative Assets:
 
 
 
Derivatives designated as hedging instruments:
 
 
 
Commodity contracts
$
17

 
$
4

Foreign exchange contracts
—

 
1

Total derivative assets – designated
17

 
5

 
 
 
 
Derivatives not designated as hedging instruments:
 
 
 
Commodity contracts
42

 
25

Foreign exchange contracts
—

 
2

Total derivative assets – not designated
42

 
27

 
 
 
 
Total derivative assets
$
59

 
$
32

Derivative Liabilities:
 
 
 
Derivatives designated as hedging instruments:
 
 
 
Commodity contracts
$
78

 
$
29

Foreign exchange contracts
—

 
—

Total derivative liabilities – designated
78

 
29

 
 
 
 
Derivatives not designated as hedging instruments:
 
 
 
Commodity contracts
80

 
72

Foreign exchange contracts
2

 
1

Total derivative liabilities – not designated
82

 
73

 
 
 
 
Total derivative liabilities
$
160

 
$
102


Our derivative assets and liabilities are presented in our Consolidated Balance Sheets on a net basis. We net derivative assets and liabilities, including cash collateral when a legally enforceable master netting arrangement exists between the counterparty to a derivative contract and us. See Note 13: Fair Value Measurements for a reconciliation to amounts reported in the Consolidated Balance Sheets in Other current assets and Other current liabilities.
Fair Value Measurements
Fair Value Measurements
FAIR VALUE MEASUREMENTS
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The fair value hierarchy contains three levels as follows:
Level 1 — Unadjusted quoted prices available in active markets for the identical assets or liabilities at the measurement date.
Level 2 — Other observable inputs available at the measurement date, other than quoted prices included in Level 1, either directly or indirectly, including:
•
Quoted prices for similar assets or liabilities in active markets;
•
Quoted prices for identical or similar assets in non-active markets;
•
Inputs other than quoted prices that are observable for the asset or liability; and
•
Inputs derived principally from or corroborated by other observable market data.
Level 3 — Unobservable inputs that cannot be corroborated by observable market data and reflect the use of significant management judgment. These values are generally determined using pricing models for which the assumptions utilize management’s estimates of market participant assumptions.
Assets and Liabilities Measured at Fair Value on a Recurring Basis
The fair value hierarchy requires the use of observable market data when available. In instances where the inputs used to measure fair value fall into different levels of the fair value hierarchy, the fair value measurement has been determined based on the lowest level input significant to the fair value measurement in its entirety. Our assessment of the significance of a particular item to the fair value measurement in its entirety requires judgment, including the consideration of inputs specific to the asset or liability.
The following tables set forth by level within the fair value hierarchy our financial assets and liabilities accounted for at fair value on a recurring basis according to the valuation techniques we used to determine their fair values:
 
 
 
 
 
 
 
in millions
 
September 27, 2014
Level 1

 
Level 2

 
Level 3

 
Netting (a)

 
Total

Assets:
 
 
 
 
 
 
 
 
 
Commodity Derivatives
$
—

 
$
59

 
$
—

 
$
(50
)
 
$
9

Foreign Exchange Forward Contracts
—

 
—

 
—

 
—

 
—

Available for Sale Securities:
 
 
 
 
 
 
 
 
 
Current
—

 
1

 
—

 
—

 
1

Non-current
1

 
24

 
67

 
—

 
92

Deferred Compensation Assets
15

 
218

 
—

 
—

 
233

Total Assets
$
16

 
$
302

 
$
67

 
$
(50
)
 
$
335

 
 
 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
 
 
Commodity Derivatives
$
—

 
$
158

 
$
—

 
$
(148
)
 
$
10

Foreign Exchange Forward Contracts
—

 
2

 
—

 
—

 
2

Total Liabilities
$
—

 
$
160

 
$
—

 
$
(148
)
 
$
12

 
 
 
 
 
 
 
 
 
 
September 28, 2013
Level 1

 
Level 2

 
Level 3

 
Netting (a)

 
Total

Assets:
 
 
 
 
 
 
 
 
 
Commodity Derivatives
$
—

 
$
29

 
$
—

 
$
(21
)
 
$
8

Foreign Exchange Forward Contracts
—

 
3

 
—

 
(1
)
 
2

Available for Sale Securities:
 
 
 
 
 
 
 
 
 
Current
—

 
1

 
—

 
—

 
1

Non-current
4

 
24

 
65

 
—

 
93

Deferred Compensation Assets
23

 
191

 
—

 
—

 
214

Total Assets
$
27

 
$
248

 
$
65

 
$
(22
)
 
$
318

 
 
 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
 
 
Commodity Derivatives
$
—

 
$
101

 
$
—

 
$
(101
)
 
$
—

Foreign Exchange Forward Contracts
—

 
1

 
—

 
—

 
1

Total Liabilities
$
—

 
$
102

 
$
—

 
$
(101
)
 
$
1

(a)
Our derivative assets and liabilities are presented in our Consolidated Balance Sheets on a net basis. We net derivative assets and liabilities, including cash collateral, when a legally enforceable master netting arrangement exists between the counterparty to a derivative contract and us. At September 27, 2014, and September 28, 2013, we had posted with various counterparties $98 million and $79 million, respectively, of cash collateral related to our commodity derivatives and held no cash collateral.
The following table provides a reconciliation between the beginning and ending balance of debt securities measured at fair value on a recurring basis in the table above that used significant unobservable inputs (Level 3):
 
 
 
in millions

 
September 27, 2014

 
September 28, 2013

Balance at beginning of year
$
65

 
$
86

Total realized and unrealized gains (losses):
 
 
 
Included in earnings
—

 
1

Included in other comprehensive income (loss)
—

 
—

Purchases
25

 
19

Issuances
—

 
—

Settlements
(23
)
 
(41
)
Balance at end of year
$
67

 
$
65

Total gains (losses) for the periods included in earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at end of year
$
—

 
$
—


The following methods and assumptions were used to estimate the fair value of each class of financial instrument:
Derivative Assets and Liabilities: Our commodities and foreign exchange forward contracts primarily include exchange-traded and over-the-counter contracts which are further described in Note 12: Derivative Financial Instruments. We record our commodity derivatives at fair value using quoted market prices adjusted for credit and non-performance risk and internal models that use as their basis readily observable market inputs including current and forward commodity market prices. Our foreign exchange forward contracts are recorded at fair value based on quoted prices and spot and forward currency prices adjusted for credit and non-performance risk. We classify these instruments in Level 2 when quoted market prices can be corroborated utilizing observable current and forward commodity market prices on active exchanges or observable market transactions of spot currency rates and forward currency prices.
Available for Sale Securities: Our investments in marketable debt securities are classified as available-for-sale and are reported at fair value based on pricing models and quoted market prices adjusted for credit and non-performance risk. Short-term investments with maturities of less than 12 months are included in Other current assets in the Consolidated Balance Sheets and primarily include certificates of deposit and commercial paper. All other marketable debt securities are included in Other Assets in the Consolidated Balance Sheets and have maturities ranging up to 35 years. We classify our investments in U.S. government, U.S. agency, certificates of deposit and commercial paper debt securities as Level 2 as fair value is generally estimated using discounted cash flow models that are primarily industry-standard models that consider various assumptions, including time value and yield curve as well as other readily available relevant economic measures. We classify certain corporate, asset-backed and other debt securities as Level 3 as there is limited activity or less observable inputs into valuation models, including current interest rates and estimated prepayment, default and recovery rates on the underlying portfolio or structured investment vehicle. Significant changes to assumptions or unobservable inputs in the valuation of our Level 3 instruments would not have a significant impact to our consolidated financial statements.
 
 
 
 
 
 
 
 
 
in millions
 
 
September 27, 2014
 
September 28, 2013
 
Amortized
Cost Basis

 
Fair
Value

 
Unrealized
Gain/(Loss)

 
Amortized
Cost Basis

 
Fair
Value

 
Unrealized
Gain/(Loss)

Available for Sale Securities:
 
 
 
 
 
 
 
 
 
 
 
Debt Securities:
 
 
 
 
 
 
 
 
 
 
 
U.S. Treasury and Agency
$
25

 
$
25

 
$
—

 
$
25

 
$
25

 
$
—

Corporate and Asset-Backed
65

 
67

 
2

 
64

 
65

 
1

Equity Securities:
 
 
 
 
 
 
 
 
 
 
 
Common Stock and Warrants (a)
1

 
1

 
—

 
9

 
4

 
(5
)
 
(a)
At September 27, 2014, the amortized cost basis for Equity Securities had been reduced by accumulated other than temporary impairment of approximately $2 million.
Unrealized holding gains (losses), net of tax, are excluded from earnings and reported in OCI until the security is settled or sold. On a quarterly basis, we evaluate whether losses related to our available-for-sale securities are temporary in nature. Losses on equity securities are recognized in earnings if the decline in value is judged to be other than temporary. If losses related to our debt securities are determined to be other than temporary, the loss would be recognized in earnings if we intend, or more likely than not will be required, to sell the security prior to recovery. For debt securities in which we have the intent and ability to hold until maturity, losses determined to be other than temporary would remain in OCI, other than expected credit losses which are recognized in earnings. We consider many factors in determining whether a loss is temporary, including the length of time and extent to which the fair value has been below cost, the financial condition and near-term prospects of the issuer and our ability and intent to hold the investment for a period of time sufficient to allow for any anticipated recovery. We recognized $6 million of other than temporary impairment for the year ended September 27, 2014, which is recorded in the Consolidated Statements of Income in Other, net. No other than temporary losses were deferred in OCI as of September 27, 2014, and September 28, 2013.
Deferred Compensation Assets: We maintain non-qualified deferred compensation plans for certain executives and other highly compensated employees. Investments are generally maintained within a trust and include money market funds, mutual funds and life insurance policies. The cash surrender value of the life insurance policies is invested primarily in mutual funds. The investments are recorded at fair value based on quoted market prices and are included in Other Assets in the Consolidated Balance Sheets. We classify the investments which have observable market prices in active markets in Level 1 as these are generally publicly-traded mutual funds. The remaining deferred compensation assets are classified in Level 2, as fair value can be corroborated based on observable market data. Realized and unrealized gains (losses) on deferred compensation are included in earnings.
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
In addition to assets and liabilities that are recorded at fair value on a recurring basis, we record assets and liabilities at fair value on a nonrecurring basis. Generally, assets are recorded at fair value on a nonrecurring basis as a result of impairment charges.
In fiscal 2014, we recorded a $52 million impairment charge related to the closure of three Prepared Foods plants, which is recorded in the Consolidated Statements of Income in Cost of Sales and in the Prepared Foods segment. Our valuation of these assets was primarily based on discounted cash flow models which included unobservable Level 3 inputs.
On July 28, 2014, we announced our plan to sell our Brazil operation. As a result, we recorded a $39 million charge to impair its assets to its fair value of $144 million. The impairment charge was recorded in the Consolidated Statements of Income in Cost of Sales and in the International segment. The fair value used to determine the impairment was based upon the contracted sales price.
Other Financial Instruments
Fair value of our debt is principally estimated using Level 2 inputs based on quoted prices for those or similar instruments. Fair value and carrying value for our debt are as follows:
 
 
 
 
 
in millions
 
 
September 27, 2014
 
September 28, 2013
 
Fair
Value

 
Carrying
Value

 
Fair
Value

 
Carrying
Value

Total Debt
$
8,347

 
$
8,178

 
$
2,541

 
$
2,408


Concentrations of Credit Risk
Our financial instruments exposed to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. Our cash equivalents are in high quality securities placed with major banks and financial institutions. Concentrations of credit risk with respect to receivables are limited due to the large number of customers and their dispersion across geographic areas. We perform periodic credit evaluations of our customers’ financial condition and generally do not require collateral. At September 27, 2014, and September 28, 2013, 18.6% and 17.5%, respectively, of our net accounts receivable balance was due from Wal-Mart Stores, Inc. No other single customer or customer group represented greater than 10% of net accounts receivable.
Stock-Based Compensation
Stock-Based Compensation
STOCK-BASED COMPENSATION
We issue shares under our stock-based compensation plans by issuing Class A stock from treasury. The total number of shares available for future grant under the Tyson Foods, Inc. 2000 Stock Incentive Plan (Incentive Plan) was 30,428,186 at September 27, 2014.
Stock Options
Shareholders approved the Incentive Plan in January 2001. The Incentive Plan is administered by the Compensation and Leadership Development Committee of the Board of Directors (Compensation Committee). The Incentive Plan includes provisions for granting incentive stock options for shares of Class A stock at a price not less than the fair value at the date of grant. Nonqualified stock options may be granted at a price equal to or more than the fair value of Class A stock on the date the option is granted. Stock options under the Incentive Plan generally become exercisable ratably over three years from the date of grant and must be exercised within 10 years from the date of grant. Our policy is to recognize compensation expense on a straight-line basis over the requisite service period for the entire award.
 
Shares Under
Option

 
Weighted
Average Exercise
Price Per Share

 
Weighted Average
Remaining
Contractual Life
(in Years)
 
Aggregate
Intrinsic Value
(in millions)

Outstanding, September 28, 2013
13,912,168

 
$
16.59

 
 
 
 
Exercised
(4,168,070
)
 
16.13

 
 
 
 
Canceled
(270,989
)
 
23.79

 
 
 
 
Granted
4,251,300

 
31.82

 
 
 
 
Outstanding, September 27, 2014
13,724,409

 
$
21.30

 
7.0
 
$
226

 
 
 
 
 
 
 
 
Exercisable, September 27, 2014
6,866,204

 
$
16.35

 
5.3
 
$
147


We generally grant stock options once a year. The weighted average grant-date fair value of options granted in fiscal 2014, 2013 and 2012 was $10.83, $6.44 and $6.99, respectively. The fair value of each option grant is established on the date of grant using a binomial lattice method. We use historical volatility for a period of time comparable to the expected life of the option to determine volatility assumptions. Expected life is calculated based on the contractual term of each grant and takes into account the historical exercise and termination behavior of participants. Risk-free interest rates are based on the five-year Treasury bond rate. Assumptions as of the grant date used in the fair value calculation of each year’s grants are outlined in the following table.
 
2014

 
2013

 
2012

Expected life (in years)
6.0

 
6.2

 
6.7

Risk-free interest rate
1.3
%
 
0.7
%
 
0.9
%
Expected volatility
36.0
%
 
36.8
%
 
36.6
%
Expected dividend yield
1.0
%
 
1.0
%
 
1.0
%

We recognized stock-based compensation expense related to stock options, net of income taxes, of $20 million, $14 million and $15 million for fiscal 2014, 2013 and 2012, respectively. The related tax benefit for fiscal 2014, 2013 and 2012 was $13 million, $9 million and $10 million, respectively. We had 4.8 million, 3.9 million and 3.4 million options vest in fiscal 2014, 2013 and 2012, respectively, with a grant date fair value of $30 million, $22 million and $17 million, respectively.
In fiscal 2014, 2013 and 2012, we received cash of $67 million, $123 million and $34 million, respectively, for the exercise of stock options. Shares are issued from treasury for stock option exercises. The related tax benefit realized from stock options exercised during fiscal 2014, 2013 and 2012, was $33 million, $35 million and $7 million, respectively. The total intrinsic value of options exercised in fiscal 2014, 2013 and 2012, was $87 million, $90 million and $21 million, respectively. Cash flows resulting from tax deductions in excess of the compensation cost of those options (excess tax deductions) are classified as financing cash flows. We realized $24 million, $18 million and $3 million related to excess tax deductions during fiscal 2014, 2013 and 2012, respectively.
As of September 27, 2014, we had $35 million of total unrecognized compensation cost related to stock option plans that will be recognized over a weighted average period of 1.4 years.
Restricted Stock
We issue restricted stock at the market value as of the date of grant, with restrictions expiring over periods through fiscal 2017. Unearned compensation is recognized over the vesting period for the particular grant using a straight-line method.
 
Number of Shares

 
Weighted
Average Grant-
Date Fair Value
Per Share

 
Weighted Average
Remaining
Contractual Life
(in Years)
 
Aggregate
Intrinsic Value
(in millions)

Nonvested, September 28, 2013
1,138,699

 
$
16.86

 
 
 
 
Granted
423,453

 
31.98

 
 
 
 
Dividends
9,225

 
37.14

 
 
 
 
Vested
(584,360
)
 
17.66

 
 
 
 
Forfeited
(48,073
)
 
20.83

 
 
 
 
Nonvested, September 27, 2014
938,944

 
$
23.18

 
1.2
 
$
35


As of September 27, 2014, we had $10 million of total unrecognized compensation cost related to restricted stock awards that will be recognized over a weighted average period of 1.2 years.
We recognized stock-based compensation expense related to restricted stock, net of income taxes, of $6 million, $5 million and $7 million for fiscal 2014, 2013 and 2012, respectively. The related tax benefit for fiscal 2014, 2013 and 2012 was $4 million, $3 million and $4 million, respectively. We had 0.6 million, 1.4 million and 1.2 million restricted stock awards vest in fiscal 2014, 2013 and 2012, respectively, with a grant date fair value of $11 million, $20 million and $17 million, respectively.
Performance-Based Shares
We award performance-based shares of our Class A stock to certain senior executives. These awards are typically granted once a year. Performance-based shares vest based upon the passage of time and the achievement of performance or market performance criteria, ranging from 0% to 200%, as determined by the Compensation Committee prior to the date of the award. Vesting periods for these awards are generally three years. We review progress toward the attainment of the performance criteria each quarter during the vesting period. When it is probable the minimum performance criteria for an award will be achieved, we begin recognizing the expense equal to the proportionate share of the total fair value of the Class A stock price on the grant date. The total expense recognized over the duration of performance awards will equal the Class A stock price on the date of grant multiplied by the number of shares ultimately awarded based on the level of attainment of the performance criteria. For grants with market performance criteria, the total expense recognized over the duration of the award will equal the fair value as determined on the grant date, regardless if the market performance criteria is met.
The following table summarizes the performance-based shares at the maximum award amounts based upon the respective performance share agreements. Actual shares that will vest depend on the level of attainment of the performance-based criteria.
 
Number of Shares

 
Weighted
Average Grant-
Date Fair Value
Per Share

 
Weighted Average
Remaining
Contractual Life
(in Years)
Nonvested, September 28, 2013
1,001,310

 
$
20.99

 
 
Granted
585,418

 
35.66

 
 
Vested
(42,282
)
 
16.26

 
 
Forfeited
(140,843
)
 
23.68

 
 
Nonvested, September 27, 2014
1,403,603

 
$
26.77

 
1.5

We recognized stock-based compensation expense related to performance shares, net of income taxes, of $3.8 million, $2.4 million and $0.2 million for fiscal 2014, 2013 and 2012, respectively. The related tax benefit for fiscal 2014, 2013 and 2012 was $2.5 million, $1.5 million and $0.1 million, respectively. As of September 27, 2014, we had $9 million of total unrecognized compensation based upon our progress toward the attainment of criteria related to performance-based share awards that will be recognized over a weighted average period of 1.5 years.
Pensions And Other Postretirement Benefits
Pensions And Other Postretirement Benefits
PENSIONS AND OTHER POSTRETIREMENT BENEFITS
At September 27, 2014, we had nine defined benefit pension plans consisting of six funded qualified plans and three unfunded non-qualified plans. In regards to our qualified plans, five are frozen and noncontributory. The benefits provided under these plans are based on a formula using years of service and either a specified benefit rate or compensation level. The non-qualified defined benefit plans are for certain contracted officers and use a formula based on years of service and final average salary. We also have other postretirement benefit plans for which substantially all of our employees may receive benefits if they satisfy applicable eligibility criteria. The postretirement healthcare plans are contributory with participants’ contributions adjusted when deemed necessary.
We have defined contribution retirement programs for various groups of employees. We recognized expenses of $53 million, $50 million and $47 million in fiscal 2014, 2013 and 2012, respectively.
We use a fiscal year end measurement date for our defined benefit plans and other postretirement plans. We recognize the effect of actuarial gains and losses into earnings immediately for other postretirement plans rather than amortizing the effect over future periods.
Other postretirement benefits include postretirement medical costs and life insurance.
Benefit Obligations and Funded Status
The following table provides a reconciliation of the changes in the plans’ benefit obligations, assets and funded status at September 27, 2014, and September 28, 2013:
 
 
 
 
 
 
 
 
 
in millions
 
 
Pension Benefits
 
Other Postretirement
 
Qualified
 
Non-Qualified
 
Benefits
 
2014

 
2013

 
2014

 
2013

 
2014

 
2013

Change in benefit obligation
 
 
 
 
 
 
 
 
 
 
 
Benefit obligation at beginning of year
$
86

 
$
101

 
$
85

 
$
81

 
$
71

 
$
64

Service cost
1

 
—

 
7

 
5

 
2

 
2

Interest cost
10

 
4

 
5

 
3

 
3

 
2

Plan participants’ contributions
—

 
—

 
—

 
—

 
1

 
1

Actuarial (gain)/loss
(37
)
 
(9
)
 
15

 
(2
)
 
(8
)
 
7

Benefits paid
(11
)
 
(10
)
 
(3
)
 
(2
)
 
(6
)
 
(5
)
Business acquisition
1,800

 
—

 
73

 
—

 
100

 
—

Benefit obligation at end of year
1,849

 
86

 
182

 
85

 
163

 
71

Change in plan assets
 
 
 
 
 
 
 
 
 
 
 
Fair value of plan assets at beginning of year
85

 
86

 
—

 
—

 
—

 
—

Actual return on plan assets
(36
)
 
3

 
—

 
—

 
—

 
—

Employer contributions
6

 
6

 
3

 
2

 
5

 
4

Plan participants’ contributions
—

 
—

 
—

 
—

 
1

 
1

Benefits paid
(11
)
 
(10
)
 
(3
)
 
(2
)
 
(6
)
 
(5
)
Business acquisition
1,603

 
—

 
3

 
—

 
—

 
—

Fair value of plan assets at end of year
1,647

 
85

 
3

 
—

 
—

 
—

Funded status
$
(202
)
 
$
(1
)
 
$
(179
)
 
$
(85
)
 
$
(163
)
 
$
(71
)

Amounts recognized in the Consolidated Balance Sheets consist of:
 
 
 
 
 
 
 
 
 
in millions
 
 
Pension Benefits
 
Other Postretirement
 
Qualified
 
Non-Qualified
 
Benefits
 
2014

 
2013

 
2014

 
2013

 
2014

 
2013

Other current liabilities
$
—

 
$
—

 
$
(5
)
 
$
—

 
$
(7
)
 
$
—

Other liabilities
(202
)
 
(1
)
 
(174
)
 
(85
)
 
(156
)
 
(71
)
Accumulated other comprehensive (income)/loss:
 
 
 
 
 
 
 
 
 
 
 
   Actuarial loss
39

 
30

 
36

 
23

 
—

 
—

   Prior service cost/(credit)
—

 
—

 
—

 
—

 
(2
)
 
(3
)
Net amount recognized
$
(163
)
 
$
29

 
$
(143
)
 
$
(62
)
 
$
(165
)
 
$
(74
)

At September 27, 2014, seven pension plans had an accumulated benefit obligation in excess of plan assets. At September 28, 2013, three pension plans had an accumulated benefit obligation in excess of plan assets. Plans with accumulated benefit obligations in excess of plan assets are as follows:
 
 
 
 
 
in millions
 
 
Pension Benefits
 
Qualified
 
Non-Qualified
 
2014

 
2013

 
2014

 
2013

Projected benefit obligation
$
1,829

 
$
27

 
$
182

 
$
85

Accumulated benefit obligation
1,829

 
27

 
172

 
72

Fair value of plan assets
1,627

 
26

 
3

 
—


The accumulated benefit obligation for all qualified pension plans was $1,849 million and $86 million at September 27, 2014, and September 28, 2013, respectively.
Net Periodic Benefit Cost
Components of net periodic benefit cost for pension and postretirement benefit plans recognized in the Consolidated Statements of Income are as follows:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
in millions
 
 
Pension Benefits
 
Other Postretirement
 
Qualified
 
Non-Qualified
 
Benefits
 
2014

 
2013

 
2012

 
2014

 
2013

 
2012

 
2014

 
2013

 
2012

Service cost
$
1

 
$
—

 
$
—

 
$
7

 
$
5

 
$
5

 
$
2

 
$
2

 
$
1

Interest cost
10

 
4

 
4

 
5

 
3

 
3

 
3

 
2

 
2

Expected return on plan assets
(13
)
 
(5
)
 
(6
)
 
—

 
—

 
—

 
—

 
—

 
—

Amortization of prior service cost
—

 
—

 
—

 
—

 
1

 
1

 
—

 
(1
)
 
(1
)
Recognized actuarial (gain) loss, net
2

 
4

 
3

 
2

 
3

 
1

 
(8
)
 
7

 
24

Net periodic benefit cost
$
—

 
$
3

 
$
1

 
$
14

 
$
12

 
$
10

 
$
(3
)
 
$
10

 
$
26


As of September 27, 2014, the amounts expected to be reclassified into earnings within the next 12 months related to net periodic benefit cost for the qualified and non-qualified pensions are $2 million and $4 million, respectively.
Assumptions
Weighted average assumptions are as follows:
 
Pension Benefits
 
Other Postretirement
 
Qualified
 
Non-Qualified
 
Benefits
 
2014

 
2013

 
2012

 
2014

 
2013

 
2012

 
2014

 
2013

 
2012

Discount rate to determine net periodic benefit cost
4.37
%
 
4.02
%
 
4.53
%
 
5.01
%
 
4.23
%
 
4.75
%
 
4.41
%
 
3.66
%
 
4.09
%
Discount rate to determine benefit obligations
4.32
%
 
4.77
%
 
4.02
%
 
4.36
%
 
5.09
%
 
4.23
%
 
3.97
%
 
4.48
%
 
3.66
%
Rate of compensation increase
0.01
%
 
N/A

 
N/A

 
2.11
%
 
3.50
%
 
3.50
%
 
N/A

 
N/A

 
N/A

Expected return on plan assets
6.37
%
 
5.44
%
 
6.37
%
 
N/A

 
N/A

 
N/A

 
N/A

 
N/A

 
N/A


To determine the expected return on plan assets assumption, we first examined historical rates of return for the various asset classes within the plans. We then determined a long-term projected rate-of-return based on expected returns.
Our discount rate assumptions used to account for pension and other postretirement benefit plans reflect the rates at which the benefit obligations could be effectively settled. These were determined using a cash flow matching technique whereby the rates of a yield curve, developed from high-quality debt securities, were applied to the benefit obligations to determine the appropriate discount rate. As of September 27, 2014, all pension and other postretirement benefit plans used the RP-2014 mortality tables. At September 28, 2013, the pension plans used the 2013 IRS mortality tables while the other postretirement benefit plans used either the RP-2000 or the 2013 IRS mortality tables to align with applicable participant data.
We have six other postretirement benefit plans which are healthcare and life insurance related. Two of these plans, which benefit obligations totaled $22 million at September 27, 2014, were not impacted by healthcare cost trend rates as they consist of fixed annual payments. The remaining plans, which benefit obligations were $141 million at September 27, 2014, covering retirees who do not yet qualify for Medicare utilized an assumed healthcare cost trend rate of 7.3% and those covering retirees who do qualify for Medicare utilized an assumed healthcare cost trend of 6.5%. The healthcare cost trend rate will be grading down to an ultimate rate of 5.0% in 2021/2022. A one-percentage-point change in assumed health-care cost trend rates would have the following effects:
 
 
 
in millions

 
One Percentage Point Increase
 
One Percentage Point Decrease
Effect on postretirement benefit obligation
$
17

 
$
13

Effect on total service and interest components
2

 
1


Plan Assets
The following table sets forth the actual and target asset allocation for pension plan assets:
 
2014

 
2013

 
Target Asset
Allocation

Cash
4.9
%
 
1.6
%
 
0.3
%
Fixed Income Securities
80.5

 
79.1

 
84.9

U.S. Stock Funds
6.0

 
4.3

 
5.4

International Stock Funds
6.2

 
7.3

 
6.3

Real Estate
2.0

 
3.8

 
2.0

Other
0.4

 
3.9

 
1.1

Total
100.0
%
 
100.0
%
 
100.0
%

Additionally, one of our foreign subsidiary pension plans had $15 million and $14 million in plan assets held in an insurance trust at September 27, 2014, and September 28, 2013, respectively.
The plan trustees have established a set of investment objectives related to the assets of the domestic pension plans and regularly monitor the performance of the funds and portfolio managers. Objectives for the pension assets are (i) to provide growth of capital and income, (ii) to achieve a target weighted average annual rate of return competitive with funds with similar investment objectives and (iii) to diversify to reduce risk. The target asset allocations are based upon the funded status of the plans. As pension obligations become better funded, we will lower risk by increasing the allocation to fixed income.
As noted in the previous table, on an aggregate fair value basis, the plan assets are currently at approximately 81% fixed income securities and 12% equity securities. Fixed income securities can include, but are not limited to, direct bond investments, and pooled or indirect bond investments. Other investments may include, but are not limited to, international and domestic equities, real estate, commodities and private equity. Derivative instruments may also be used in concert with either fixed income or equity investments to achieve desired exposure or to hedge certain risks. Derivative instruments can include, but are not limited to, futures, options, swaps or swaptions. We believe there are no significant concentrations of risk within our plan assets as of September 27, 2014.
The following tables show the categories of pension plan assets and the level under which fair values were determined in the fair value hierarchy, which is described in Note 13: Fair Value Measurements.
 
in millions
 
September 27, 2014
Level 1

 
Level 2 (a)

 
Level 3 (b)

 
Total

Cash and cash equivalents
$
79

 
$
—

 
$
—

 
$
79

Fixed Income Securities:
 
 
 
 
 
 
 
Bond and fixed income funds
—

 
377

 
—

 
377

Corporate bonds
—

 
680

 
—

 
680

Government and municipal bonds
—

 
253

 
—

 
253

Mortgage backed securities
—

 
—

 
7

 
7

Total fixed income securities
—

 
1,310

 
7

 
1,317

Equity Securities:
 
 
 
 
 
 


U.S. securities funds
—

 
84

 
—

 
84

Non-U.S. securities funds
—

 
101

 
—

 
101

Commodity funds
—

 
14

 
—

 
14

Global real estate funds
—

 
33

 
—

 
33

Total equity securities
—

 
232

 
—

 
232

Other
—

 
7

 
—

 
7

Insurance Contract at Contract Value
—

 
—

 
15

 
15

Total plan assets
$
79

 
$
1,549

 
$
22

 
$
1,650

 
in millions
 
September 28, 2013
Level 1

 
Level 2 (a)

 
Level 3 (b)

 
Total

Cash and cash equivalents
$
1

 
$
—

 
$
—

 
$
1

Fixed Income Securities:
 
 
 
 
 
 
 
Bond and fixed income funds
—

 
56

 
—

 
56

Corporate bonds
—

 
—

 
—

 
—

Government and municipal bonds
—

 
—

 
—

 
—

Mortgage backed securities
—

 
—

 
—

 
—

Total fixed income securities
—

 
56

 
—

 
56

Equity Securities:
 
 
 
 
 
 
 
U.S. securities funds
—

 
3

 
—

 
3

Non-U.S. securities funds
—

 
5

 
—

 
5

Commodity funds
—

 
—

 
—

 
—

Global real estate funds
—

 
3

 
—

 
3

Total equity securities
—

 
11

 
—

 
11

Other
—

 
—

 
3

 
3

Insurance Contract at Contract Value
—

 
—

 
14

 
14

Total plan assets
$
1

 
$
67

 
$
17

 
$
85

(a)
We classify our investments in U.S. government, U.S. agency, fixed income funds, bond funds, corporate bonds, and other debt securities as Level 2 as fair value is generally estimated using discounted cash flow models that are primarily industry-standard models that consider various assumptions, including time value and yield curve as well as other readily available relevant economic measures. Funds are valued using the net asset value (NAV) provided by the trustee, which is a practical expedient to estimating fair value. The NAV is based on the fair value of the underlying investments within the funds and is determined daily.
(b)
We classify certain mortgage-backed, asset-backed and insurance contracts as Level 3 as there is limited activity or less observable inputs into valuation models, including current interest rates and estimated prepayment, default and recovery rates on the underlying portfolio or structured investment vehicle. The insurance contracts are valued using the plan’s own assumptions about the assumptions market participants would use in pricing the assets based on the best information available, such as investment manager pricing. Significant changes to assumptions or unobservable inputs in the valuation of our Level 3 instruments would not have a significant impact to our consolidated financial statements.
A reconciliation of the change in the fair value measurement of the defined benefit plans’ consolidated assets using significant unobservable inputs (Level 3) is as follows:
 
 
 
 
 
 
 
in millions

 
Mortgage backed securities

 
Other 

 
Insurance contract

 
Total

Balance at September 28, 2013
$
—

 
$
3

 
$
14

 
17

Actual return on plan assets:
 
 
 
 
 
 


Assets still held at reporting date
—

 
—

 
—

 
—

Assets sold during the period
—

 
—

 
—

 
—

Purchases, sales and settlements, net
—

 
—

 
1

 
1

Transfers in and/or out of Level 3
7

 
(3
)
 
—

 
4

Balance at September 27, 2014
$
7

 
$
—

 
$
15

 
$
22


Contributions
Our policy is to fund at least the minimum contribution required to meet applicable federal employee benefit and local tax laws. In our sole discretion, we may from time to time fund additional amounts. Expected contributions to pension plans for fiscal 2015 are approximately $14 million. For fiscal 2014, 2013 and 2012, we funded $9 million, $8 million and $8 million plans, respectively, to pension plans.
Estimated Future Benefit Payments    
The following benefit payments are expected to be paid:
 
 
 
 
 
in millions

 
Pension Benefits
 
Other Postretirement
 
Qualified
 
Non-Qualified
 
Benefits
2015
$
108

 
$
8

 
$
12

2016
82

 
9

 
12

2017
85

 
9

 
12

2018
89

 
9

 
12

2019
92

 
10

 
12

2020-2024
506

 
54

 
64


The above benefit payments for other postretirement benefit plans are not expected to be offset by Medicare Part D subsidies in 2015 or thereafter.
Multi-Employer Plans
Additionally, we participate in a multi-employer plan that provides defined benefits to certain employees covered by collective bargaining agreements. Such plans are usually administered by a board of trustees composed of the management of the participating companies and labor representatives.
The risks of participating in multiemployer plans are different from single-employer plans. Assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers. If a participating employer stops contributing to the plan, the unfunded obligation of the plan may be borne by the remaining participating employers. If we stop participating in a plan, we may be required to pay that plan an amount based on the underfunded status of the plan, referred to as a withdrawal liability. Contributions to the pension funds were not in excess of 5% of the total plan contributions for plan year 2014. There are no contractually required minimum contributions to the plans as of September 27, 2014.
The net pension cost of the plan is equal to the annual contribution determined in accordance with the provisions of negotiated labor contracts. Contributions to the plan were less than $1 million in fiscal 2014. Assets contributed to such plans are not segregated or otherwise restricted to provide benefits only to our employees. The future cost of the plan is dependent on a number of factors including the funded status of the plan and the ability of the other participating companies to meet ongoing funding obligations.
Our participation in this multiemployer plan for fiscal 2014 is outlined below. The EIN/Pension Plan Number column provides the Employer Identification Number (EIN) and the three digit plan number. Unless otherwise noted, the most recent Pension Protection Act ("PPA") zone status available in 2014 and 2013 is for the plan's year beginning January 1, 2014 and 2013, respectively. The zone status is based on information that we have received from the plan and is certified by the plan's actuaries. Among other factors, plans in the red zone are generally less than 65 percent funded. The FIP/RP Status Pending/Implemented column indicates plans for which a financial improvement plan (FIP) or rehabilitation plan (RP) is either pending or has been implemented. The last column lists the expiration date(s) of the collective-bargaining agreements to which the plan is subject. There have been no significant changes that affect the comparability of contributions from year to year.
In addition to regular contributions, we could be obligated to pay additional contributions (known as complete or partial withdrawal liabilities) if it has unfunded vested benefits.
 
 
 
PPA Zone Status
 
FIP/RP Status
Contributions (in millions)
 
Surcharge Imposed
 
 
Pension Fund Plan Name
EIN/Pension Plan Number
 
2014
 
2013
 
Pending/ Implemented
2014
 
2014
 
Expiration Date of Collective Bargaining Agreement
Bakery and Confectionary Union & Industry International Pension Fund
52-6118572/001
 
Red
 
Red
 
Nov 2012
 
$1
 
10%
 
Oct 2015
Comprehensive Income (Loss)
Comprehensive Income (Loss)
COMPREHENSIVE INCOME (LOSS)
The components of accumulated other comprehensive loss are as follows:
 
 
 
in millions

 
2014

 
2013

Accumulated other comprehensive income (loss), net of taxes:
 
 
 
Unrealized net hedging gain (loss)
$
(3
)
 
$
(4
)
Unrealized net gain (loss) on investments
2

 
(2
)
Currency translation adjustment
(99
)
 
(69
)
Postretirement benefits reserve adjustments
(47
)
 
(33
)
Total accumulated other comprehensive loss
$
(147
)
 
$
(108
)

The before and after tax changes in the components of other comprehensive income (loss) are as follows:
 
 
 
 
 
 
 
 
 
 
in millions
 
 
 
2014
 
2013
 
2012
 
 
Before Tax
Tax
After Tax
 
Before Tax
Tax
After Tax
 
Before Tax
Tax
After Tax
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivatives accounted for as cash flow hedges:
 
 
 
 
 
 
 
 
 
 
 
 
(Gain) loss reclassified to Cost of Sales
 
$
10

$
(4
)
$
6

 
$
5

$
(2
)
$
3

 
$
16

$
(7
)
$
9

(Gain) loss reclassified to Other Income/Expense
 
—

—

—

 
4

(2
)
2

 
(4
)
2

(2
)
Unrealized gain (loss)
 
(8
)
3

(5
)
 
(31
)
12

(19
)
 
16

(6
)
10

 
 
 
 
 
 
 
 
 
 
 
 
 
Investments:
 
 
 
 
 
 
 
 
 
 
 
 
(Gain) loss reclassified to Other Income/Expense
 
8

(2
)
6

 
(1
)
—

(1
)
 
—

—

—

Unrealized gain (loss)
 
(2
)
—

(2
)
 
(4
)
2

(2
)
 
—

—

—

 
 
 
 
 
 
 
 
 
 
 
 
 
Currency translation:
 
 
 
 
 
 
 
 
 
 
 
 
Translation gain reclassified to Other Income/Expense
 
—

—

—

 
(19
)
(1
)
(20
)
 
—

—

—

Translation adjustment
 
(32
)
2

(30
)
 
(20
)
3

(17
)
 
2

1

3

 
 
 
 
 
 
 
 
 
 
 
 
 
Postretirement benefits
 
(23
)
9

(14
)
 
15

(6
)
9

 
(6
)
2

(4
)
Total Other Comprehensive Income (Loss)
 
$
(47
)
$
8

$
(39
)
 
$
(51
)
$
6

$
(45
)
 
$
24

$
(8
)
$
16

Segment Reporting
Segment Reporting
SEGMENT REPORTING
We operate in five segments: Chicken, Beef, Pork, Prepared Foods and International. We measure segment profit as operating income (loss).
During the second quarter of fiscal 2014, we began reporting our International operation as a separate segment, which was previously included in our Chicken segment. Our International segment became a separate reportable segment as a result of changes to our internal financial reporting to align with previously announced executive leadership changes. All periods presented have been reclassified to reflect this change. Beef, Pork, Prepared Foods and Other results were not impacted by this change.
Chicken: Chicken includes our domestic operations related to raising and processing live chickens into fresh, frozen and value-added chicken products, as well as sales from allied products. Products are marketed domestically to food retailers, foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, healthcare facilities, the military and other food processors, as well as to international export markets. This segment also includes logistics operations to move products through our domestic supply chain and the global operations of our chicken breeding stock subsidiary.
Beef: Beef includes our operations related to processing live fed cattle and fabricating dressed beef carcasses into primal and sub-primal meat cuts and case-ready products. Products are marketed domestically to food retailers, foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, healthcare facilities, the military and other food processors, as well as to international export markets. This segment also includes sales from allied products such as hides and variety meats, as well as logistics operations to move products through the supply chain.
Pork: Pork includes our operations related to processing live market hogs and fabricating pork carcasses into primal and sub-primal cuts and case-ready products. Products are marketed domestically to food retailers, foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, healthcare facilities, the military and other food processors, as well as to international export markets. This segment also includes our live swine group, related allied product processing activities and logistics operations to move products through the supply chain.
Prepared Foods: Prepared Foods includes our operations related to manufacturing and marketing frozen and refrigerated food products and logistics operations to move products through the supply chain. Products primarily include pepperoni, bacon, sausage, beef and pork pizza toppings, pizza crusts, flour and corn tortilla products, appetizers, prepared meals, ethnic foods, soups, sauces, side dishes, meat dishes, breadsticks and processed meats. Products are marketed domestically to food retailers, foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, healthcare facilities, the military and other food processors, as well as to international export markets.
On August 28, 2014, we completed the acquisition of Hillshire Brands, a manufacturer and marketer of branded, convenient foods which includes brands such as Jimmy Dean®, Ball Park®, Hillshire Farm®, State Fair®, Van's®, Sara Lee® frozen bakery and Chef Pierre® pies as well as artisanal brands Aidells®, Gallo Salame®, and Golden Island® premium jerky. Hillshire Brands' one month results from operations for fiscal 2014 are included in the Prepared Foods segment.
International: International includes our foreign operations primarily related to raising and processing live chickens into fresh, frozen and value-added chicken products in Brazil, China, India and Mexico. Products are marketed in each respective country to food retailers, foodservice distributors, restaurant operators, hotel chains, noncommercial foodservice establishments and live markets, as well as to other international export markets.
On July 28, 2014, we announced our plan to sell our Brazil and Mexico operations, part of our International segment, to JBS for $575 million in cash. We expect to complete the sale of our Brazil operation in the first quarter of fiscal 2015. The sale of our Mexico operation is pending the necessary government approvals and is expected to close in the first half of fiscal 2015.
The results from Dynamic Fuels are included in Other. We allocate expenses related to corporate activities to the segments, except for acquisition and integration related fees of $59 million which are included in Other. Assets and additions to property, plant and equipment relating to corporate activities remain in Other. At September 27, 2014, we included $4.8 billion of goodwill associated with our acquisition of Hillshire Brands in Other. The allocation of goodwill to our reportable segments is pending finalization of the expected synergies and the impact of the synergies to our reporting units.
Information on segments and a reconciliation to income from continuing operations before income taxes are follows:
 
in millions
 
 
Chicken

 
Beef

 
Pork

 
Prepared
Foods

 
International

 
Other

 
Intersegment
Sales

 
Consolidated

Fiscal 2014
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Sales
$
11,116

 
$
16,177

 
$
6,304

 
$
3,927

 
$
1,381

 
$
—

 
$
(1,325
)
 
$
37,580

Operating Income (Loss)
883

 
347

 
455

 
(60
)
 
(121
)
 
(74
)
 
 
 
1,430

Total Other (Income) Expense
 
 
 
 
 
 
 
 
 
 
 
 
 
 
178

Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,252

Depreciation
251

 
87

 
32

 
78

 
40

 
6

 
 
 
494

Total Assets
4,807

 
3,103

 
965

 
8,608

 
871

 
5,602

 
 
 
23,956

Additions to property, plant and equipment
307

 
115

 
36

 
77

 
46

 
51

 
 
 
632

Fiscal 2013
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Sales
$
10,988

 
$
14,400

 
$
5,408

 
$
3,322

 
$
1,324

 
$
46

 
$
(1,114
)
 
$
34,374

Operating Income (Loss)
683

 
296

 
332

 
101

 
(37
)
 
—

 
 
 
1,375

Total Other (Income) Expense
 
 
 
 
 
 
 
 
 
 
 
 
 
 
118

Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,257

Depreciation
251

 
87

 
30

 
61

 
40

 
5

 
 
 
474

Total Assets
4,944

 
2,798

 
931

 
1,176

 
876

 
1,452

 
 
 
12,177

Additions to property, plant and equipment
253

 
105

 
22

 
87

 
58

 
33

 
 
 
558

Fiscal 2012
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Sales
$
10,270

 
$
13,755

 
$
5,510

 
$
3,237

 
$
1,104

 
$
167

 
$
(988
)
 
$
33,055

Operating Income (Loss)
554

 
218

 
417

 
181

 
(70
)
 
(14
)
 
 
 
1,286

Total Other (Income) Expense
 
 
 
 
 
 
 
 
 
 
 
 
 
 
321

Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
 
 
 
 
 
 
965

Depreciation
228

 
86

 
30

 
54

 
40

 
5

 
 
 
443

Total Assets
4,934

 
2,634

 
895

 
960

 
968

 
1,505

 
 
 
11,896

Additions to property, plant and equipment
354

 
100

 
32

 
99

 
97

 
8

 
 
 
690


The Chicken segment had sales of $7 million, $16 million and $6 million for fiscal 2014, 2013 and 2012, respectively, from transactions with other operating segments. The Pork segment had sales of $1.0 billion, $872 million and $771 million for fiscal 2014, 2013 and 2012, respectively, from transactions with other operating segments. The Beef segment had sales of $307 million, $226 million and $211 million for fiscal 2014, 2013 and 2012, respectively, from transactions with other operating segments. The aforementioned sales from intersegment transactions, which were at market prices, were included in the segment sales in the above table.
Our largest customer, Wal-Mart Stores, Inc., accounted for 14.6%, 13.0% and 13.8% of consolidated sales in fiscal 2014, 2013 and 2012, respectively. Sales to Wal-Mart Stores, Inc. were included in the all segments. Any extended discontinuance of sales to this customer could, if not replaced, have a material impact on our operations.
The majority of our operations are domiciled in the United States. Approximately 96%, 96% and 95% of sales to external customers for fiscal 2014, 2013 and 2012, respectively, were sourced from the United States. Approximately $17.4 billion and $6.1 billion of long-lived assets were located in the United States at September 27, 2014, and September 28, 2013, respectively. Approximately $324 million and $485 million of long-lived assets were located in foreign countries, primarily Brazil, China and India, at September 27, 2014, and September 28, 2013, respectively.
We sell certain products in foreign markets, primarily Brazil, Canada, Central America, China, the European Union, Japan, Mexico, the Middle East, South Korea, Taiwan, and Vietnam. Our export sales from the United States totaled $4.7 billion, $4.2 billion and $4.0 billion for fiscal 2014, 2013 and 2012, respectively. Substantially all of our export sales are facilitated through unaffiliated brokers, marketing associations and foreign sales staffs. Sales of products produced in a country other than the United States were less than 10% of consolidated sales for each of fiscal 2014, 2013 and 2012.
Supplemental Cash Flow Information
Supplemental Cash Flow Information
SUPPLEMENTAL CASH FLOWS INFORMATION
The following table summarizes cash payments for interest and income taxes:
 
 
 
 
 
in millions

 
2014

 
2013

 
2012

Interest, net of amounts capitalized
$
118

 
$
114

 
$
274

Income taxes, net of refunds
590

 
310

 
187

Commitments And Contingencies
Commitments And Contingencies
COMMITMENTS AND CONTINGENCIES
Commitments
We lease equipment, properties and certain farms for which total rentals approximated $161 million, $200 million and $193 million, in fiscal 2014, 2013 and 2012, respectively. Most leases have initial terms of up to seven years, some with varying renewal periods. The most significant obligations assumed under the terms of the leases are the upkeep of the facilities and payments of insurance and property taxes.
Minimum lease commitments under non-cancelable leases at September 27, 2014, were:
 
in millions

2015
$
107

2016
80

2017
56

2018
39

2019
30

2020 and beyond
104

Total
$
416


We guarantee obligations of certain outside third parties, consisting primarily of leases and grower loans which are substantially collateralized by the underlying assets. Terms of the underlying debt cover periods up to 15 years, and the maximum potential amount of future payments as of September 27, 2014, was $70 million. We also maintain operating leases for various types of equipment, some of which contain residual value guarantees for the market value of the underlying leased assets at the end of the term of the lease. The remaining terms of the lease maturities cover periods over the next 13 years. The maximum potential amount of the residual value guarantees is $54 million, of which $48 million could be recoverable through various recourse provisions and an additional undeterminable recoverable amount based on the fair value of the underlying leased assets. The likelihood of material payments under these guarantees is not considered probable. At September 27, 2014, and September 28, 2013, no material liabilities for guarantees were recorded.
We have cash flow assistance programs in which certain livestock suppliers participate. Under these programs, we pay an amount for livestock equivalent to a standard cost to grow such livestock during periods of low market sales prices. The amounts of such payments that are in excess of the market sales price are recorded as receivables and accrue interest. Participating suppliers are obligated to repay these receivables balances when market sales prices exceed this standard cost, or upon termination of the agreement. Our maximum obligation associated with these programs is limited to the fair value of each participating livestock supplier’s net tangible assets. The potential maximum obligation as of September 27, 2014, was approximately $330 million. The total receivables under these programs were $4 million and $44 million at September 27, 2014, and September 28, 2013, respectively, and are included, net of allowance for uncollectible amounts, in Accounts Receivable in our Consolidated Balance Sheets. Even though these programs are limited to the net tangible assets of the participating livestock suppliers, we also manage a portion of our credit risk associated with these programs by obtaining security interests in livestock suppliers’ assets. After analyzing residual credit risks and general market conditions, we had no allowance for these programs' estimated uncollectible receivables at September 27, 2014 and $15 million at September 28, 2013.
Additionally, we enter into future purchase commitments for various items, such as grains, livestock contracts and fixed grower fees. At September 27, 2014, these commitments totaled:
 
in millions

2015
$
2,625

2016
585

2017
259

2018
271

2019
189

2020 and beyond
249

Total
$
4,178


Contingencies
We are involved in various claims and legal proceedings. We routinely assess the likelihood of adverse judgments or outcomes to those matters, as well as ranges of probable losses, to the extent losses are reasonably estimable. We record accruals for such matters to the extent that we conclude a loss is probable and the financial impact, should an adverse outcome occur, is reasonably estimable. Such accruals are reflected in the Company’s consolidated financial statements. In our opinion, we have made appropriate and adequate accruals for these matters and believe the probability of a material loss beyond the amounts accrued to be remote; however, the ultimate liability for these matters is uncertain, and if accruals are not adequate, an adverse outcome could have a material effect on the consolidated financial condition or results of operations. Listed below are certain claims made against the Company and/or our subsidiaries for which the potential exposure is considered material to the Company’s consolidated financial statements. We believe we have substantial defenses to the claims made and intend to vigorously defend these matters.
There are nine pending lawsuits involving our beef and pork plants, in which certain present and past employees allege that we failed to compensate them for the time it takes to engage in pre- and post-shift activities, such as changing into and out of protective and sanitary clothing and walking to and from the changing area, work areas and break areas in violation of the Fair Labor Standards Act and various state laws. The plaintiffs seek back wages, liquidated damages, pre- and post-judgment interest, attorneys’ fees and costs. Each case is proceeding in its jurisdiction.
•
Garcia, et al. v. Tyson Foods, Inc., Tyson Fresh Meats, Inc., D. Kansas, May 15, 2006 - After a trial involving our Garden City, Kansas beef plant, a jury verdict in favor of the plaintiffs was entered on March 17, 2011. Exclusive of pre- and post-judgment interest, attorneys’ fees and costs, the jury found violations of federal and state laws for pre- and post-shift work activities and awarded damages in the amount of $503,011. Plaintiffs’ counsel filed an application for attorneys’ fees and expenses which we contested. On December 7, 2012, the court granted plaintiffs' counsel's application and awarded a total of $3,609,723. We appealed the jury’s verdict and trial court’s award to the Tenth Circuit Court of Appeals. The appellate court affirmed the jury verdict and judgment and subsequently denied our petition for rehearing.
•
Bouaphakeo (f/k/a Sharp), et al. v. Tyson Foods, Inc., N.D. Iowa, February 6, 2007 - A jury trial was held involving our Storm Lake, Iowa pork plant which resulted in a jury verdict in favor of the plaintiffs for violations of federal and state laws for pre- and post-shift work activities. The trial court also awarded the plaintiffs liquidated damages, resulting in total damages awarded in the amount of $5,784,758. The plaintiffs' counsel has also filed an application for attorneys' fees and expenses in the amount of $2,692,145. We appealed the jury's verdict and trial court's award to the Eighth Circuit Court of Appeals. The appellate court affirmed the jury verdict and judgment on August 25, 2014, and we filed a petition for rehearing on September 22, 2014.
•
Guyton (f/k/a Robinson), et al. v. Tyson Foods, Inc., d.b.a Tyson Fresh Meats, Inc., S.D. Iowa, September 12, 2007 - A jury trial was held involving our Columbus Junction, Iowa pork plant, which resulted in a jury verdict in favor of Tyson on April 25, 2012. The plaintiffs have appealed to the Eighth Circuit Court of Appeals. Oral arguments were held on February 11, 2014. The appellate court affirmed the jury verdict and judgment on August 25, 2014.
•
Acosta, et al. v Tyson Foods, Inc. d.b.a Tyson Fresh Meats, Inc., D. Nebraska, February 29, 2008 - A bench trial was held involving our Madison, Nebraska pork plant, in January 2013. In May 2013 the trial court awarded the plaintiffs $5,733,943 for unpaid overtime wages. Subsequently, the court ordered the class of plaintiffs expanded, and the plaintiffs submitted an updated calculation of $6,258,330 for unpaid overtime wages as reflected by payroll data through May 2013. On January 30, 2014, the trial court entered judgment in favor of the plaintiffs in the amount of $18,774,989, which represents a tripling of the plaintiffs’ alleged damages. The court denied our post-trial motions, and we appealed to the Eighth Circuit Court of Appeals.
•
Gomez, et al. v. Tyson Foods, Inc., D. Nebraska, January 16, 2008 - A jury trial involving our Dakota City, Nebraska beef plant, was held, and the jury found in favor of the plaintiffs on April 3, 2013. On October 2, 2013, the trial court denied the parties’ post-trial motions and entered judgment awarding unpaid overtime wages, liquidated damages, and penalties totaling $4,960,787. We appealed the jury’s verdict and trial court’s award to the Eighth Circuit Court of Appeals.
•
Edwards, et al. v. Tyson Foods, Inc. d.b.a Tyson Fresh Meats, Inc., S.D. Iowa, March 20, 2008 - The trial court in this case, which involves our Perry and Waterloo, Iowa pork plants, decertified the state law class and granted other pre-trial motions that resulted in judgment in our favor with respect to the plaintiffs’ claims. The plaintiffs have filed a motion to modify this judgment.
•
Abadeer v. Tyson Foods, Inc., and Tyson Fresh Meats, Inc., M.D. Tennessee, February 6, 2009 - The trial court in the Abadeer case, which involves our Goodlettsville, Tennessee case-ready beef and pork plant, granted the plaintiffs’ motion for summary judgment in part, finding that certain pre- and post-shift activities were compensable and our non-payment for those activities was willful and not in good faith. The parties subsequently agreed to settle all claims for $7,750,000. The parties' joint motion for approval of settlement was granted.
•
Abdiaziz, et al. v. Tyson Foods, Inc., Tyson Fresh Meats, Inc., D. Kansas, September 30, 2011 - this case involves our Emporia, Kansas beef plant, and was bifurcated from the case involving our Garden City, Kansas beef plant. It is stayed pending the resolution of that matter.
•
Murray, et al. v. Tyson Foods, Inc., C.D. Illinois, January 2, 2008; and DeVoss v. Tyson Foods, Inc. d.b.a. Tyson Fresh Meats, C.D. Illinois, March 2, 2011 - these cases involve our Joslin, Illinois beef plant and are in their preliminary stages.
Our subsidiary, The Hillshire Brands Company (formerly named Sara Lee Corporation), is a party to a consolidation of cases filed by individual complainants with the Republic of the Philippines, Department of Labor and Employment and the National Labor Relations Commission (NLRC) from 1998 through July 1999. The complaint is filed against Aris Philippines, Inc., Sara Lee Corporation, Sara Lee Philippines, Inc., Fashion Accessories Philippines, Inc., and Attorney Cesar C. Cruz (collectively, the “respondents”). The complaint primarily alleges unfair labor practices due to the termination of manufacturing operations in the Philippines by Aris Philippines, Inc., a former subsidiary of The Hillshire Brands Company. In 2006, the arbitrator ruled against the respondents and awarded the complainants PHP3,453,664,710 (approximately US$76 million) in damages and fees. The respondents appealed this ruling and it was subsequently set aside by the NLRC in December 2006. However, in a decision dated June 4, 2014, the Supreme Court of the Philippines set aside the NLRC’s December 2006 ruling as premature. The parties have filed numerous appeals, motions for reconsideration and petitions for review in these cases as to the merits of complainants’ claims and the appropriate amount of an appeal bond to be posted by the respondents. Certain of these appeals and motions remain pending before the NLRC and Supreme Court of the Philippines. On June 23, 2014, without admitting liability, The Hillshire Brands Company filed a motion requesting that the Supreme Court of the Philippines order dismissal with prejudice of all claims against it and its predecessors-in-interest in exchange for payments allocated by the court among the complainants in an amount not to exceed PHP342,287,800 (approximately US$7 million).
Quarterly Financial Data (Unaudited)
Quarterly Financial Data (Unaudited)
QUARTERLY FINANCIAL DATA (UNAUDITED)
 
 
 
 
in millions, except per share data
 
 
 
First
Quarter

 
Second
Quarter

 
Third
Quarter

 
Fourth
Quarter

2014
 
 
 
 
 
 
 
 
Sales
 
$
8,761

 
$
9,032

 
$
9,682

 
$
10,105

Gross profit
 
685

 
651

 
637

 
712

Operating income
 
412

 
361

 
351

 
306

Net income
 
252

 
210

 
258

 
136

Amounts attributable to Tyson:
 
 
 
 
 
 
 
 
   Net income from continuing operations
 
254

 
213

 
260

 
137

Net income attributable to Tyson
 
254

 
213

 
260

 
137

 
 
 
 
 
 
 
 
 
Net income per share from continuing operations attributable to Tyson:
 
 
 
 
 
 
 
Class A Basic (a)
 
$
0.76

 
$
0.64

 
$
0.75

 
$
0.37

Class B Basic
 
$
0.68

 
$
0.58

 
$
0.68

 
$
0.32

Diluted (a)
 
$
0.72

 
$
0.60

 
$
0.73

 
$
0.35

Net income per share attributable to Tyson:
 
 
 
 
 
 
 
 
Class A Basic (a)
 
$
0.76

 
$
0.64

 
$
0.75

 
$
0.37

Class B Basic
 
$
0.68

 
$
0.58

 
$
0.68

 
$
0.32

Diluted (a)
 
$
0.72

 
$
0.60

 
$
0.73

 
$
0.35

2013
 
 
 
 
 
 
 
 
Sales
 
$
8,366

 
$
8,383

 
$
8,731

 
$
8,894

Gross profit
 
539

 
468

 
682

 
669

Operating income
 
304

 
236

 
419

 
416

Net income
 
168

 
106

 
245

 
259

Amounts attributable to Tyson:
 
 
 
 
 
 
 
 
   Net income from continuing operations
 
177

 
157

 
253

 
261

   Net loss from discontinued operation
 
(4
)
 
(62
)
 
(4
)
 
—

Net income attributable to Tyson
 
173

 
95

 
249

 
261

 
 
 
 
 
 
 
 
 
Net income per share from continuing operations attributable to Tyson:
 
 
 
 
 
 
 
Class A Basic
 
$
0.51

 
$
0.45

 
$
0.73

 
$
0.77

Class B Basic
 
$
0.46

 
$
0.40

 
$
0.66

 
$
0.70

Diluted
 
$
0.49

 
$
0.43

 
$
0.69

 
$
0.70

Net loss per share from discontinued operation attributable to Tyson:
 
 
 
 
 
 
 
Class A Basic
 
$
(0.01
)
 
$
(0.18
)
 
$
(0.01
)
 
$
—

Class B Basic
 
$
(0.01
)
 
$
(0.15
)
 
$
(0.02
)
 
$
—

Diluted
 
$
(0.01
)
 
$
(0.17
)
 
$
(0.01
)
 
$
—

Net income per share attributable to Tyson:
 
 
 
 
 
 
 
 
Class A Basic
 
$
0.50

 
$
0.27

 
$
0.72

 
$
0.77

Class B Basic
 
$
0.45

 
$
0.25

 
$
0.64

 
$
0.70

Diluted
 
$
0.48

 
$
0.26

 
$
0.68

 
$
0.70



(a) The sum of the quarterly earnings per share amounts will not equal the total for the year due to the effects of rounding and dilution impact as a result of issuing Class A shares and tangible equity units in the fourth quarter of fiscal 2014.
Third quarter fiscal 2014 net income included a $29 million pretax expense related to the Hillshire Brands acquisition fees paid to third parties, a $49 million pretax expense related to the closure of three Prepared Foods facilities and a $40 million unrecognized tax benefit gain.
Fourth quarter fiscal 2014 net income included a $42 million pretax impairment and other costs related to the sale of our Brazil operation and Mexico's undistributed earnings tax, $119 million pretax expense related to the Hillshire Brands acquisition, integration and costs associated with our Prepared Foods improvement plan, $40 million pretax expense related to the Hillshire Brands post-closing results, purchase price accounting adjustments and ongoing costs related to a legacy Hillshire Brands plant fire, $27 million pretax expense related to the Hillshire Brands acquisition financing incremental interest cost and a $12 million unrecognized tax benefit gain.
Second quarter fiscal 2013 net income included a $19 million currency translation adjustment gain recognized in conjunction with the receipt of proceeds constituting the final resolution of our investment in Canada and included a $56 million non-cash charge, reported as a discontinued operation, related to the impairment of Weifang.
Condensed Consolidating Financial Statements
Condensed Consolidating Financial Statements
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS
TFM Parent, our wholly-owned subsidiary, has fully and unconditionally guaranteed the 2016 Notes. Additionally, TFM Parent has fully and unconditionally guaranteed the 2022 Notes until such date TFM Parent has been released of its guarantee of both (i) Tyson's $1.25 billion revolving credit facility and (ii) the 2016 Notes, at which time TFM Parent's guarantee of the 2019, 2022, 2024, 2034 and 2044 Notes is permanently released. The following financial information presents condensed consolidating financial statements, which include Tyson Foods, Inc. (TFI Parent); TFM Parent; the Non-Guarantor Subsidiaries (Non-Guarantors) on a combined basis; the elimination entries necessary to consolidate TFI Parent, TFM Parent and the Non-Guarantors; and Tyson Foods, Inc. on a consolidated basis, and is provided as an alternative to providing separate financial statements for the guarantor.
Condensed Consolidating Statement of Income and Comprehensive Income for the year ended September 27, 2014
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Sales
$
579

 
$
21,924

 
$
16,926

 
$
(1,849
)
 
$
37,580

Cost of Sales
74

 
20,971

 
15,689

 
(1,839
)
 
34,895

Gross Profit
505

 
953

 
1,237

 
(10
)
 
2,685

Selling, General and Administrative
141

 
240

 
884

 
(10
)
 
1,255

Operating Income
364

 
713

 
353

 
—

 
1,430

Other (Income) Expense:

 

 

 

 

Interest expense, net
63

 
49

 
13

 
—

 
125

Other, net
67

 
(1
)
 
(13
)
 
—

 
53

Equity in net earnings of subsidiaries
(731
)
 
(43
)
 
—

 
774

 
—

Total Other (Income) Expense
(601
)
 
5

 
—

 
774

 
178

Income from Continuing Operations before Income Taxes
965

 
708

 
353

 
(774
)
 
1,252

Income Tax Expense
101

 
227

 
68

 
—

 
396

Income from Continuing Operations
864

 
481

 
285

 
(774
)
 
856

Loss from Discontinued Operation, Net of Tax
—

 
—

 
—

 
—

 
—

Net Income
864

 
481

 
285

 
(774
)
 
856

Less: Net Loss Attributable to Noncontrolling Interests
—

 
—

 
(8
)
 
—

 
(8
)
Net Income Attributable to Tyson
$
864

 
$
481

 
$
293

 
$
(774
)
 
$
864

 
 
 
 
 
 
 
 
 
 
Comprehensive Income (Loss)
$
817

 
$
449

 
$
243

 
$
(692
)
 
$
817

Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interest
—

 
—

 
(8
)
 
—

 
(8
)
Comprehensive Income (Loss) Attributable to Tyson
$
817

 
$
449

 
$
251

 
$
(692
)
 
$
825

Condensed Consolidating Statement of Income and Comprehensive Income for the year ended September 28, 2013
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Sales
$
431

 
$
19,243

 
$
16,120

 
$
(1,420
)
 
$
34,374

Cost of Sales
40

 
18,464

 
14,932

 
(1,420
)
 
32,016

Gross Profit
391

 
779

 
1,188

 
—

 
2,358

Selling, General and Administrative
68

 
201

 
714

 
—

 
983

Operating Income
323

 
578

 
474

 
—

 
1,375

Other (Income) Expense:

 

 

 

 

Interest expense, net
36

 
62

 
40

 
—

 
138

Other, net
4

 
(1
)
 
(23
)
 
—

 
(20
)
Equity in net earnings of subsidiaries
(582
)
 
(40
)
 
—

 
622

 
—

Total Other (Income) Expense
(542
)
 
21

 
17

 
622

 
118

Income from Continuing Operations before Income Taxes
865

 
557

 
457

 
(622
)
 
1,257

Income Tax Expense
87

 
172

 
150

 
—

 
409

Income from Continuing Operations
778

 
385

 
307

 
(622
)
 
848

Loss from Discontinued Operation, Net of Tax
—

 
—

 
(70
)
 
—

 
(70
)
Net Income
778

 
385

 
237

 
(622
)
 
778

Less: Net Loss Attributable to Noncontrolling Interests
—

 
—

 
—

 
—

 
—

Net Income Attributable to Tyson
$
778

 
$
385

 
$
237

 
$
(622
)
 
$
778

 
 
 
 
 
 
 
 
 
 
Comprehensive Income (Loss)
$
733

 
$
380

 
$
212

 
$
(592
)
 
$
733

Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interests
—

 
—

 
—

 
—

 
—

Comprehensive Income (Loss) Attributable to Tyson
$
733

 
$
380

 
$
212

 
$
(592
)
 
$
733

Condensed Consolidating Statement of Income and Comprehensive Income for the year ended September 29, 2012
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Sales
$
352

 
$
18,832

 
$
15,152

 
$
(1,281
)
 
$
33,055

Cost of Sales
(4
)
 
18,088

 
14,061

 
(1,280
)
 
30,865

Gross Profit
356

 
744

 
1,091

 
(1
)
 
2,190

Selling, General and Administrative
59

 
205

 
641

 
(1
)
 
904

Operating Income
297

 
539

 
450

 
—

 
1,286

Other (Income) Expense:
 
 
 
 
 
 
 
 
 
Interest expense, net
49

 
143

 
152

 
—

 
344

Other, net
1

 
—

 
(24
)
 
—

 
(23
)
Equity in net earnings of subsidiaries
(427
)
 
(43
)
 
—

 
470

 
—

Total Other (Income) Expense
(377
)
 
100

 
128

 
470

 
321

Income from Continuing Operations before Income Taxes
674

 
439

 
322

 
(470
)
 
965

Income Tax Expense
91

 
130

 
130

 
—

 
351

Income from Continuing Operations
583

 
309

 
192

 
(470
)
 
614

Loss from Discontinued Operation, Net of Tax
—

 
—

 
(38
)
 
—

 
(38
)
Net Income
583

 
309

 
154

 
(470
)
 
576

Less: Net Loss Attributable to Noncontrolling Interests
—

 
—

 
(7
)
 
—

 
(7
)
Net Income Attributable to Tyson
$
583

 
$
309

 
$
161

 
$
(470
)
 
$
583

 
 
 
 
 
 
 
 
 
 
Comprehensive Income (Loss)
$
599

 
$
324

 
$
166

 
$
(497
)
 
$
592

Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interests
—

 
—

 
(7
)
 
—

 
(7
)
Comprehensive Income (Loss) Attributable to Tyson
$
599

 
$
324

 
$
173

 
$
(497
)
 
$
599


Condensed Consolidating Balance Sheet as of September 27, 2014
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Assets
 
 
 
 
 
 
 
 
 
Current Assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
—

 
$
41

 
$
397

 
$
—

 
$
438

Accounts receivable, net
3

 
665

 
1,016

 
—

 
1,684

Inventories
—

 
1,272

 
2,002

 
—

 
3,274

Other current assets
42

 
78

 
379

 
(120
)
 
379

Assets held for sale
3

 
—

 
443

 
—

 
446

Total Current Assets
48

 
2,056

 
4,237

 
(120
)
 
6,221

Net Property, Plant and Equipment
30

 
932

 
4,168

 
—

 
5,130

Goodwill
—

 
881

 
5,825

 
—

 
6,706

Intangible Assets
—

 
15

 
5,261

 
—

 
5,276

Other Assets
204

 
148

 
326

 
(55
)
 
623

Investment in Subsidiaries
20,845

 
2,049

 
—

 
(22,894
)
 
—

Total Assets
$
21,127

 
$
6,081

 
$
19,817

 
$
(23,069
)
 
$
23,956

Liabilities and Shareholders’ Equity
 
 
 
 
 
 
 
 
 
Current Liabilities:
 
 
 
 
 
 
 
 
 
Current debt
$
240

 
$
—

 
$
403

 
$
—

 
$
643

Accounts payable
35

 
755

 
1,016

 
—

 
1,806

Other current liabilities
4,718

 
235

 
921

 
(4,667
)
 
1,207

Liabilities held for sale
—

 
—

 
141

 
—

 
141

Total Current Liabilities
4,993

 
990

 
2,481

 
(4,667
)
 
3,797

Long-Term Debt
7,056

 
2

 
532

 
(55
)
 
7,535

Deferred Income Taxes
21

 
96

 
2,333

 
—

 
2,450

Other Liabilities
167

 
125

 
978

 
—

 
1,270

 
 
 
 
 
 
 
 
 
 
Total Tyson Shareholders’ Equity
8,890

 
4,868

 
13,479

 
(18,347
)
 
8,890

Noncontrolling Interests
—

 
—

 
14

 
—

 
14

Total Shareholders’ Equity
8,890

 
4,868

 
13,493

 
(18,347
)
 
8,904

Total Liabilities and Shareholders’ Equity
$
21,127

 
$
6,081

 
$
19,817

 
$
(23,069
)
 
$
23,956

Condensed Consolidating Balance Sheet as of September 28, 2013
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Assets
 
 
 
 
 
 
 
 
 
Current Assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
—

 
$
21

 
$
1,124

 
$
—

 
$
1,145

Accounts receivable, net
—

 
571

 
926

 
—

 
1,497

Inventories
—

 
1,039

 
1,778

 
—

 
2,817

Other current assets
351

 
88

 
117

 
(411
)
 
145

Total Current Assets
351

 
1,719

 
3,945

 
(411
)
 
5,604

Net Property, Plant and Equipment
32

 
891

 
3,130

 
—

 
4,053

Goodwill
—

 
881

 
1,021

 
—

 
1,902

Intangible Assets
—

 
21

 
117

 
—

 
138

Other Assets
895

 
162

 
244

 
(821
)
 
480

Investment in Subsidiaries
11,975

 
2,035

 
—

 
(14,010
)
 
—

Total Assets
$
13,253

 
$
5,709

 
$
8,457

 
$
(15,242
)
 
$
12,177

Liabilities and Shareholders’ Equity
 
 
 
 
 
 
 
 
 
Current Liabilities:
 
 
 
 
 
 
 
 
 
Current debt
$
457

 
$
132

 
$
251

 
$
(327
)
 
$
513

Accounts payable
27

 
575

 
757

 
—

 
1,359

Other current liabilities
4,625

 
200

 
901

 
(4,588
)
 
1,138

Total Current Liabilities
5,109

 
907

 
1,909

 
(4,915
)
 
3,010

Long-Term Debt
1,770

 
679

 
241

 
(795
)
 
1,895

Deferred Income Taxes
24

 
93

 
362

 
—

 
479

Other Liabilities
149

 
155

 
282

 
(26
)
 
560

 
 
 
 
 
 
 
 
 
 
Total Tyson Shareholders’ Equity
6,201

 
3,875

 
5,631

 
(9,506
)
 
6,201

Noncontrolling Interests
—

 
—

 
32

 
—

 
32

Total Shareholders’ Equity
6,201

 
3,875

 
5,663

 
(9,506
)
 
6,233

Total Liabilities and Shareholders’ Equity
$
13,253

 
$
5,709

 
$
8,457

 
$
(15,242
)
 
$
12,177


Condensed Consolidating Statement of Cash Flows for the year ended September 27, 2014
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Cash Provided by (Used for) Operating Activities
$
132

 
$
431

 
$
660

 
$
(45
)
 
$
1,178

Cash Flows from Investing Activities:
 
 
 
 
 
 
 
 
 
Additions to property, plant and equipment
(1
)
 
(147
)
 
(484
)
 
—

 
(632
)
(Purchases of)/Proceeds from marketable securities, net
—

 
—

 
15

 
—

 
15

Proceeds from notes receivable
—

 
—

 
—

 
—

 
—

Acquisitions, net of cash acquired
(8,193
)
 
—

 
—

 
—

 
(8,193
)
Other, net
5

 
2

 
3

 
—

 
10

Cash Provided by (Used for) Investing Activities
(8,189
)
 
(145
)
 
(466
)
 
—

 
(8,800
)
Cash Flows from Financing Activities:
 
 
 
 
 
 
 
 
 
Net change in debt
5,154

 
—

 
(12
)
 
—

 
5,142

Proceeds from issuance of common stock, net of issuance costs
873

 
—

 
—

 
—

 
873

Proceeds from issuance of equity component of tangible equity units
1,255

 
—

 
—

 
—

 
1,255

Purchases of Tyson Class A common stock
(295
)
 
—

 
—

 
—

 
(295
)
Dividends
(104
)
 
—

 
(45
)
 
45

 
(104
)
Stock options exercised
67

 
—

 
—

 
—

 
67

Other, net
(22
)
 
—

 
(1
)
 
—

 
(23
)
Net change in intercompany balances
1,129

 
(266
)
 
(863
)
 
—

 
—

Cash Provided by (Used for) Financing Activities
8,057

 
(266
)
 
(921
)
 
45

 
6,915

Effect of Exchange Rate Change on Cash
—

 
—

 
—

 
—

 
—

Increase (Decrease) in Cash and Cash Equivalents
—

 
20

 
(727
)
 
—

 
(707
)
Cash and Cash Equivalents at Beginning of Year
—

 
21

 
1,124

 
—

 
1,145

Cash and Cash Equivalents at End of Period
$
—

 
$
41

 
$
397

 
$
—

 
$
438

Condensed Consolidating Statement of Cash Flows for the year ended September 28, 2013
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Cash Provided by (Used for) Operating Activities
$
294

 
$
337

 
$
696

 
$
(13
)
 
$
1,314

Cash Flows from Investing Activities:
 
 
 
 
 
 
 
 
 
Additions to property, plant and equipment
(4
)
 
(113
)
 
(441
)
 
—

 
(558
)
(Purchases of)/Proceeds from marketable securities, net
—

 
(13
)
 
(5
)
 
—

 
(18
)
Proceeds from notes receivable
—

 
—

 
—

 
—

 
—

Acquisitions, net of cash acquired
—

 
—

 
(106
)
 
—

 
(106
)
Other, net
—

 
3

 
36

 
—

 
39

Cash Provided by (Used for) Investing Activities
(4
)
 
(123
)
 
(516
)
 
—

 
(643
)
Cash Flows from Financing Activities:
 
 
 
 
 
 
 
 
 
Net change in debt
5

 
—

 
(28
)
 
—

 
(23
)
Proceeds from issuance of common stock, net of issuance costs
—

 
—

 
—

 
—

 
—

Proceeds from issuance of equity component of tangible equity units
—

 
—

 
—

 
—

 
—

Purchases of Tyson Class A common stock
(614
)
 
—

 
—

 
—

 
(614
)
Dividends
(104
)
 
—

 
(13
)
 
13

 
(104
)
Stock options exercised
123

 
—

 
—

 
—

 
123

Other, net
18

 
—

 
—

 
—

 
18

Net change in intercompany balances
281

 
(202
)
 
(79
)
 
—

 
—

Cash Provided by (Used for) Financing Activities
(291
)
 
(202
)
 
(120
)
 
13

 
(600
)
Effect of Exchange Rate Change on Cash
—

 
—

 
3

 
—

 
3

Increase (Decrease) in Cash and Cash Equivalents
(1
)
 
12

 
63

 
—

 
74

Cash and Cash Equivalents at Beginning of Year
1

 
9

 
1,061

 
—

 
1,071

Cash and Cash Equivalents at End of Period
$
—

 
$
21

 
$
1,124

 
$
—

 
$
1,145

Condensed Consolidating Statement of Cash Flows for the year ended September 29, 2012
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Cash Provided by (Used for) Operating Activities
$
312

 
$
438

 
$
447

 
$
(10
)
 
$
1,187

Cash Flows from Investing Activities:
 
 
 
 
 
 
 
 
 
Additions to property, plant and equipment
(1
)
 
(104
)
 
(585
)
 
—

 
(690
)
(Purchases of)/Proceeds from marketable securities, net
—

 
(7
)
 
(4
)
 
—

 
(11
)
Proceeds from notes receivable
—

 
—

 
—

 
—

 
—

Acquisitions, net of cash acquired
—

 
—

 
—

 
—

 
—

Other, net
1

 
5

 
35

 
—

 
41

Cash Provided by (Used for) Investing Activities
—

 
(106
)
 
(554
)
 
—

 
(660
)
Cash Flows from Financing Activities:
 
 
 
 
 
 
 
 
 
Net change in debt
107

 
—

 
16

 
—

 
123

Proceeds from issuance of common stock, net of issuance costs
—

 
—

 
—

 
—

 
—

Proceeds from issuance of equity component of tangible equity units
—

 
—

 
—

 
—

 
—

Purchases of Tyson Class A common stock
(264
)
 
—

 
—

 
—

 
(264
)
Dividends
(57
)
 
—

 
(10
)
 
10

 
(57
)
Stock options exercised
34

 
—

 
—

 
—

 
34

Other, net
(8
)
 
—

 
1

 
—

 
(7
)
Net change in intercompany balances
(124
)
 
(324
)
 
448

 
—

 
—

Cash Provided by (Used for) Financing Activities
(312
)
 
(324
)
 
455

 
10

 
(171
)
Effect of Exchange Rate Change on Cash
—

 
—

 
(1
)
 
—

 
(1
)
Increase (Decrease) in Cash and Cash Equivalents
—

 
8

 
347

 
—

 
355

Cash and Cash Equivalents at Beginning of Year
1

 
1

 
714

 
—

 
716

Cash and Cash Equivalents at End of Period
$
1

 
$
9

 
$
1,061

 
$
—

 
$
1,071

Valuation And Qualifying Accounts
Valuation And Qualifying Accounts
FINANCIAL STATEMENT SCHEDULE
TYSON FOODS, INC.
SCHEDULE II
VALUATION AND QUALIFYING ACCOUNTS
Three Years Ended September 27, 2014
 
 
 
 
 
 
 
 
 
 
in millions

 
 
 
 
Additions
 
 
 
 
 
 
Balance at
Beginning
of Period

 
Charged to
Costs and
Expenses

 
Charged to
Other Accounts

 
(Deductions)

 
Balance at End
of Period

Allowance for Doubtful Accounts:
 
 
 
 
 
 
 
 
 
 
2014
 
$
46

 
$
5

 
$
—

 
$
(17
)
 
$
34

2013
 
33

 
17

 
—

 
(4
)
 
46

2012
 
31

 
7

 
—

 
(5
)
 
33

Inventory Lower of Cost or Market Allowance:
 
 
 
 
 
 
 
 
 
 
2014
 
$
16

 
$
14

 
$
—

 
$
(23
)
 
$
7

2013
 
24

 
49

 
—

 
(57
)
 
16

2012
 
6

 
52

 
—

 
(34
)
 
24

Valuation Allowance on Deferred Tax Assets:
 
 
 
 
 
 
 
 
 
 
2014
 
$
77

 
$
26

 
$
13

 
$
(65
)
 
$
51

2013
 
78

 
8

 
—

 
(9
)
 
77

2012
 
92

 
16

 
—

 
(30
)
 
78

Business And Summary Of Significant Accounting Policies (Policy)
Description Of Business 
Description of Business: Tyson Foods, Inc. (collectively, “Company,” “we,” “us” or “our”), founded in 1935 with world headquarters in Springdale, Arkansas, is one of the world's largest producers of chicken, beef, pork and prepared foods that include leading brands such as Tyson®, Jimmy Dean®, Hillshire Farm®, Sara Lee® frozen bakery, Ball Park®, Wright®, Aidells® and State Fair®.
Consolidation 
Consolidation: The consolidated financial statements include the accounts of all wholly-owned subsidiaries, as well as majority-owned subsidiaries over which we exercise control and, when applicable, entities for which we have a controlling financial interest or variable interest entities for which we are the primary beneficiary. All significant intercompany accounts and transactions have been eliminated in consolidation.
Fiscal Year 
Fiscal Year: We utilize a 52- or 53-week accounting period ending on the Saturday closest to September 30.
Cash And Cash Equivalents 
Cash and Cash Equivalents: Cash equivalents consist of investments in short-term, highly liquid securities having original maturities of three months or less, which are made as part of our cash management activity. The carrying values of these assets approximate their fair values. We primarily utilize a cash management system with a series of separate accounts consisting of lockbox accounts for receiving cash, concentration accounts where funds are moved to, and several zero-balance disbursement accounts for funding payroll, accounts payable, livestock procurement, grower payments, etc. As a result of our cash management system, checks issued, but not presented to the banks for payment, may result in negative book cash balances. These negative book cash balances are included in accounts payable and other current liabilities.
Accounts Receivable 
Accounts Receivable: We record accounts receivable at net realizable value. This value includes an appropriate allowance for estimated uncollectible accounts to reflect any loss anticipated on the accounts receivable balances and charged to the provision for doubtful accounts. We calculate this allowance based on our history of write-offs, level of past due accounts and relationships with and economic status of our customers. At September 27, 2014, and September 28, 2013, our allowance for uncollectible accounts was $34 million and $46 million, respectively. We generally do not have collateral for our receivables, but we do periodically evaluate the credit worthiness of our customers.
Inventories 
Inventories: Processed products, livestock and supplies and other are valued at the lower of cost or market. Cost includes purchased raw materials, live purchase costs, growout costs (primarily feed, grower pay and catch and haul costs), labor and manufacturing and production overhead, which are related to the purchase and production of inventories.
Property, Plant And Equipment 
Property, Plant and Equipment: Property, plant and equipment are stated at cost and generally depreciated on a straight-line method over the estimated lives for buildings and leasehold improvements of 10 to 33 years, machinery and equipment of three to 12 years and land improvements and other of three to 20 years. Major repairs and maintenance costs that significantly extend the useful life of the related assets are capitalized. Normal repairs and maintenance costs are charged to operations.
We review the carrying value of long-lived assets at each balance sheet date if indication of impairment exists. Recoverability is assessed using undiscounted cash flows based on historical results and current projections of earnings before interest and taxes. We measure impairment as the excess of carrying cost over the fair value of an asset. The fair value of an asset is measured using discounted cash flows including market participant assumptions of future operating results and discount rates.
Goodwill And Other Intangible Assets 
Goodwill and Other Intangible Assets: Goodwill and indefinite life intangible assets are initially recorded at fair value and not amortized, but are reviewed for impairment at least annually or more frequently if impairment indicators arise. Our goodwill is allocated by reporting unit and is evaluated for impairment by first performing a qualitative assessment to determine whether a quantitative goodwill test is necessary. If it is determined, based on qualitative factors, the fair value of the reporting unit may be more likely than not less than carrying amount, or if significant changes to macro-economic factors related to the reporting unit have occurred that could materially impact fair value, a quantitative goodwill impairment test would be required. Additionally, we can elect to forgo the qualitative assessment and perform the quantitative test.
The first step of the quantitative test is to identify if a potential impairment exists by comparing the fair value of a reporting unit with its carrying amount, including goodwill. If the fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not considered to have a potential impairment and the second step of the quantitative impairment test is not necessary. However, if the carrying amount of a reporting unit exceeds its fair value, the second step is performed to determine if goodwill is impaired and to measure the amount of impairment loss to recognize, if any. The second step compares the implied fair value of goodwill with the carrying amount of goodwill. If the implied fair value of goodwill exceeds the carrying amount, then goodwill is not considered impaired. However, if the carrying amount of goodwill exceeds the implied fair value, an impairment loss is recognized in an amount equal to that excess. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination (i.e., the fair value of the reporting unit is allocated to all the assets and liabilities, including any unrecognized intangible assets, as if the reporting unit had been acquired in a business combination and the fair value of the reporting unit was determined as the exit price a market participant would pay for the same business). We have elected to make the first day of the fourth quarter the annual impairment assessment date for goodwill and other indefinite life intangible assets.
We estimate the fair value of our reporting units using a discounted cash flow analysis, which uses significant unobservable inputs, or Level 3 inputs, as defined by the fair value hierarchy. This analysis requires us to make various judgmental estimates and assumptions about sales, operating margins, growth rates and discount factors and is believed to reflect market participant views which would exist in an exit transaction. Generally, we utilize normalized operating margin assumptions based on future expectations and operating margins historically realized in the reporting units' industries. Some of the inherent estimates and assumptions used in determining fair value of the reporting units are outside the control of management, including interest rates, cost of capital, tax rates and credit ratings. While we believe we have made reasonable estimates and assumptions to calculate the fair value of the reporting units, it is possible a material change could occur. If our actual results are not consistent with our estimates and assumptions used to calculate fair value, we may be required to perform the second step of the quantitative test in future years, which could result in material impairments of our goodwill.
During fiscal 2014, 2013 and 2012, all of our material reporting units that underwent the quantitative test passed the first step of the goodwill impairment analysis and therefore, the second step was not necessary.
For our other indefinite life intangible assets, a qualitative assessment can also be performed to determine whether the existence of events and circumstances indicates it is more likely than not an intangible asset is impaired. Similar to goodwill, we can also elect to forgo the qualitative test for indefinite life intangible assets and perform the quantitative test. Upon performing the quantitative test, if the carrying value of the intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess.
The fair value of our indefinite life intangible assets is calculated principally using relief-from-royalty and excess earnings valuation approaches and is believed to reflect market participant views which would exist in an exit transaction. Under these valuation approaches, we are required to make estimates and assumptions about sales, operating margins, growth rates, royalty rates and discount rates based on budgets, business plans, economic projections, anticipated future cash flows and marketplace data.
Investments 
Investments: We have investments in joint ventures and other entities. We generally use the cost method of accounting when our voting interests are less than 20 percent. We use the equity method of accounting when our voting interests are in excess of 20 percent and we do not have a controlling interest or a variable interest in which we are the primary beneficiary. Investments in joint ventures and other entities are reported in the Consolidated Balance Sheets in Other Assets.
We also have investments in marketable debt securities. We have determined all of our marketable debt securities are available-for-sale investments. These investments are reported at fair value based on quoted market prices as of the balance sheet date, with unrealized gains and losses, net of tax, recorded in other comprehensive income. The amortized cost of debt securities is adjusted for amortization of premiums and accretion of discounts to maturity. Such amortization is recorded in interest income. The cost of securities sold is based on the specific identification method. Realized gains and losses on the sale of debt securities and declines in value judged to be other than temporary are recorded on a net basis in other income. Interest and dividends on securities classified as available-for-sale are recorded in interest income.
Accrued Self-Insurance 
Accrued Self-Insurance: We use a combination of insurance and self-insurance mechanisms in an effort to mitigate the potential liabilities for health and welfare, workers’ compensation, auto liability and general liability risks. Liabilities associated with our risks retained are estimated, in part, by considering claims experience, demographic factors, severity factors and other actuarial assumptions.
Defined Benefit Plans 
Defined Benefit Plans: We recognize the funded status of defined pension and postretirement plans in the Consolidated Balance Sheets. The funded status is measured as the difference between the fair value of the plan assets and the benefit obligation. We measure our plan assets and liabilities at the end of our fiscal year. For a defined benefit pension plan, the benefit obligation is the projected benefit obligation; for any other defined benefit postretirement plan, such as a retiree health care plan, the benefit obligation is the accumulated postretirement benefit obligation. Any overfunded status is recognized as an asset and any underfunded status is recognized as a liability. Any transitional asset/liability, prior service cost or actuarial gain/loss that has not yet been recognized as a component of net periodic cost is recognized in accumulated other comprehensive income. Accumulated other comprehensive income will be adjusted as these amounts are subsequently recognized as a component of net periodic benefit costs in future periods.
Financial Instruments 
Financial Instruments: We purchase certain commodities, such as grains and livestock in the course of normal operations. As part of our commodity risk management activities, we use derivative financial instruments, primarily futures and options, to reduce our exposure to various market risks related to these purchases, as well as to changes in foreign currency exchange rates. Contract terms of a financial instrument qualifying as a hedge instrument closely mirror those of the hedged item, providing a high degree of risk reduction and correlation. Contracts designated and highly effective at meeting risk reduction and correlation criteria are recorded using hedge accounting. If a derivative instrument is accounted for as a hedge, changes in the fair value of the instrument will be offset either against the change in fair value of the hedged assets, liabilities or firm commitments through earnings or recognized in other comprehensive income (loss) until the hedged item is recognized in earnings. The ineffective portion of an instrument’s change in fair value is immediately recognized in earnings as a component of cost of sales. Instruments we hold as part of our risk management activities that do not meet the criteria for hedge accounting are marked to fair value with unrealized gains or losses reported currently in earnings. Changes in market value of derivatives used in our risk management activities relating to forward sales contracts are recorded in sales, while changes surrounding inventories on hand or anticipated purchases of inventories or supplies are recorded in cost of sales. We generally do not hedge anticipated transactions beyond 18 months.
Revenue Recognition 
Revenue Recognition: We recognize revenue when title and risk of loss are transferred to customers, which is generally on delivery based on terms of sale. Revenue is recognized as the net amount estimated to be received after deducting estimated amounts for discounts, trade allowances and product terms.
Litigation Reserves 
Litigation Reserves: There are a variety of legal proceedings pending or threatened against us. Accruals are recorded when it is probable a liability has been incurred and the amount of the liability can be reasonably estimated based on current law, progress of each case, opinions and views of legal counsel and other advisers, our experience in similar matters and intended response to the litigation. These amounts, which are not discounted and are exclusive of claims against third parties, are adjusted periodically as assessment efforts progress or additional information becomes available. We expense amounts for administering or litigating claims as incurred. Accruals for legal proceedings are included in Other current liabilities in the Consolidated Balance Sheets.
Freight Expense 
Freight Expense: Freight expense associated with products shipped to customers is recognized in cost of sales.
Advertising And Promotion Expenses 
Advertising and Promotion Expenses: Advertising and promotion expenses are charged to operations in the period incurred. Customer incentive and trade promotion activities are recorded as a reduction to sales based on amounts estimated as being due to customers, based primarily on historical utilization and redemption rates, while other advertising and promotional activities are recorded as selling, general and administrative expenses.
Research And Development 
Research and Development: Research and development costs are expensed as incurred.
Use Of Estimates 
Use of Estimates: The consolidated financial statements are prepared in conformity with accounting principles generally accepted in the United States, which require us to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
Recently Issued Accounting Pronouncements 
Recently Issued Accounting Pronouncements: In May 2014, the Financial Accounting Standards Board (FASB) issued guidance changing the criteria for recognizing revenue. The guidance also modifies the related disclosure requirements, clarifies guidance for multiple-element arrangements and provides guidance for transactions that were not addressed fully in previous guidance. The guidance is effective for annual reporting periods and interim periods within those annual reporting periods beginning after December 15, 2016, our fiscal 2018. Early adoption is not permitted. The Company is currently evaluating the impact this guidance will have on our consolidated financial statements.
Business And Summary Of Significant Accounting Policies (Tables)
Schedule of Inventory, Current 
The following table reflects the major components of inventory at September 27, 2014, and September 28, 2013:
 
 
 
in millions

 
2014

 
2013

Processed products
$
1,794

 
$
1,423

Livestock
1,066

 
1,002

Supplies and other
414

 
392

Total inventory
$
3,274

 
$
2,817

Other Current Liabilities 
Other Current Liabilities: Other current liabilities at September 27, 2014 and September 28, 2013, include:
 
in millions
 
 
2014

 
2013

Accrued salaries, wages and benefits
$
490

 
$
419

Other
717

 
719

Total other current liabilities
$
1,207

 
$
1,138

Acquisitions and Dispositions (Tables)
Schedule of Business Acquisitions, by Acquisition [Table Text Block] 
The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed at the acquisition date. Certain estimated values for the acquisition, including goodwill, intangible assets, plant property and equipment, and deferred taxes, are not yet finalized and the preliminary purchase price allocations are subject to change as we complete our analysis of the fair value at the date of acquisition.
 
in millions
 
Cash and cash equivalents
 
$
72

Accounts receivable
 
236

Inventories
 
421

Other current assets
 
344

Property, Plant and Equipment
 
1,306

Goodwill
 
4,804

Intangible Assets
 
5,141

Other Assets
 
45

Accounts payable
 
(347
)
Other current liabilities
 
(324
)
Long-Term Debt
 
(868
)
Deferred Income Taxes
 
(2,069
)
Other Liabilities
 
(517
)
Net asset acquired
 
$
8,244

Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] 
The fair value of identifiable intangible assets is as follows:
 
 
 
 
 
 
in millions

Intangible Asset Category
 
Type
 
Life in Years
 
Fair Value
Brands & trademarks
 
Non-amortizable
 
Indefinite
 
$
4,062

Brands & trademarks
 
Amortizable
 
20 years
 
532

Customer relationships
 
Amortizable
 
Weighted average life of 16 years
 
541

Non-compete agreements
 
Amortizable
 
1 year
 
6

Total identifiable intangible assets
 
 
 
 
 
$
5,141

Schedule of Indefinite-lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] 
The fair value of identifiable intangible assets is as follows:
 
 
 
 
 
 
in millions

Intangible Asset Category
 
Type
 
Life in Years
 
Fair Value
Brands & trademarks
 
Non-amortizable
 
Indefinite
 
$
4,062

Brands & trademarks
 
Amortizable
 
20 years
 
532

Customer relationships
 
Amortizable
 
Weighted average life of 16 years
 
541

Non-compete agreements
 
Amortizable
 
1 year
 
6

Total identifiable intangible assets
 
 
 
 
 
$
5,141

Business Acquisition, Pro Forma Information [Table Text Block] 
These pro forma results have been prepared for comparative purposes only and are not necessarily indicative of the results of operations as they would have been had the acquisitions occurred on the assumed dates, nor is it necessarily an indication of future operating results.
 
in millions  (unaudited)
 
 
2014

 
2013

Pro forma sales
$
41,311

 
$
38,195

Pro forma net income from continuing operations attributable to Tyson
1,047

 
655

Pro forma net income per diluted share from continuing operations attributable to Tyson
$
2.50

 
$
1.52

Summary of Net Assets and Liabilities Held for Sale 
The following table summarizes the net assets and liabilities held for sale:
 
in millions

 
2014

Assets held for sale:
 
Accounts receivable, net
$
74

Inventories
141

Other current assets
72

Net property, plant and equipment
132

Goodwill
16

Other assets
11

Total assets held for sale
$
446

Liabilities held for sale:
 
Current debt
$
32

Accounts payable
61

Other current liabilities
27

Long-term debt
9

Deferred income taxes
12

Total liabilities held for sale
$
141

 
 
 
 
 
 
in millions

 
 
2014

 
2013

 
2012

Sales
 
$
—

 
$
108

 
$
223

 
 
 
 
 
 
 
Pretax loss
 
—

 
(68
)
 
(38
)
Income tax expense
 
—

 
2

 
—

Loss from discontinued operation, net of tax
 
$
—

 
$
(70
)
 
$
(38
)
Discontinued Operation (Tables)
Summary of Discontinued Operation's Results
The following table summarizes the net assets and liabilities held for sale:
 
in millions

 
2014

Assets held for sale:
 
Accounts receivable, net
$
74

Inventories
141

Other current assets
72

Net property, plant and equipment
132

Goodwill
16

Other assets
11

Total assets held for sale
$
446

Liabilities held for sale:
 
Current debt
$
32

Accounts payable
61

Other current liabilities
27

Long-term debt
9

Deferred income taxes
12

Total liabilities held for sale
$
141

 
 
 
 
 
 
in millions

 
 
2014

 
2013

 
2012

Sales
 
$
—

 
$
108

 
$
223

 
 
 
 
 
 
 
Pretax loss
 
—

 
(68
)
 
(38
)
Income tax expense
 
—

 
2

 
—

Loss from discontinued operation, net of tax
 
$
—

 
$
(70
)
 
$
(38
)
Property, Plant And Equipment (Tables)
Schedule Of Property, Plant And Equipment And Accumulated Depreciation
The following table reflects major categories of property, plant and equipment and accumulated depreciation at September 27, 2014, and September 28, 2013:
 
in millions
 
 
2014

 
2013

Land
$
126

 
$
100

Building and leasehold improvements
3,501

 
2,945

Machinery and equipment
6,144

 
5,504

Land improvements and other
276

 
417

Buildings and equipment under construction
334

 
236

 
10,381

 
9,202

Less accumulated depreciation
5,251

 
5,149

Net property, plant and equipment
$
5,130

 
$
4,053

Goodwill And Other Intangible Assets (Tables)
Schedule Of Goodwill Activity 
The following table reflects goodwill activity for fiscal 2014 and 2013:
in millions
 
 
Chicken

 
Beef

 
Pork

 
Prepared
Foods

 
International

 
Unallocated

 
Consolidated

Balance at September 29, 2012
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
$
909

 
$
1,123

 
$
317

 
$
63

 
$
68

 
$
—

 
$
2,480

Accumulated impairment losses
—

 
(560
)
 
—

 
—

 
(29
)
 
—

 
(589
)
 
909

 
563

 
317

 
63

 
39

 
—

 
1,891

Fiscal 2013 Activity:
 
 
 
 
 
 
 
 
 
 
 
 
 
Acquisition
—

 
—

 
—

 
12

 
—

 
—

 
12

Impairment losses
—

 
—

 
—

 
—

 
—

 
—

 
—

Currency translation and other
(1
)
 
—

 
—

 
—

 
—

 
—

 
(1
)
Balance at September 28, 2013
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
908

 
1,123

 
317

 
75

 
68

 
—

 
2,491

Accumulated impairment losses
—

 
(560
)
 
—

 
—

 
(29
)
 
—

 
(589
)
 
$
908

 
$
563

 
$
317

 
$
75

 
$
39

 
$
—

 
$
1,902

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fiscal 2014 Activity:
 
 
 
 
 
 
 
 
 
 
 
 
 
Acquisition
$
—

 
$
—

 
$
—

 
$
18

 
$
5

 
$
4,804

 
$
4,827

Reclass to assets held for sale
—

 
—

 
—

 
—

 
(16
)
 
—

 
(16
)
Impairment losses
—

 
—

 
—

 
—

 
(5
)
 
—

 
(5
)
Currency translation and other
(1
)
 
—

 
—

 
(1
)
 
—

 
—

 
(2
)
Balance at September 27, 2014
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
907

 
1,123

 
317

 
92

 
57

 
4,804

 
7,300

Accumulated impairment losses
—

 
(560
)
 
—

 
—

 
(34
)
 
—

 
(594
)
 
$
907

 
$
563

 
$
317

 
$
92

 
$
23

 
$
4,804

 
$
6,706

Schedule Of Other Intangible Assets By Type 
The following table reflects other intangible assets by type at September 27, 2014, and September 28, 2013:
in millions
 
 
2014

 
2013

Amortizable intangible assets:
 
 
 
Brands and trademarks
$
611

 
$
69

Customer relationships
570

 
12

Patents, intellectual property and other
136

 
140

Non-compete agreements
6

 
—

Land use rights
8

 
8

  Total gross amortizable intangible assets
$
1,331

 
$
229

     Less accumulated amortization
133

 
107

  Total net amortizable intangible assets
$
1,198

 
$
122

Brands and trademarks not subject to amortization
4,078

 
16

  Total intangible assets
$
5,276

 
$
138

Debt (Tables)
Schedule Of Major Components Of Debt
The following table reflects major components of debt as of September 27, 2014, and September 28, 2013:
 
 
 
in millions

 
2014

 
2013

Revolving credit facility
$
—

 
$
—

Senior notes:
 
 
 
3.25% Convertible senior notes due October 2013 (2013 Notes)
—

 
458

2.75% Senior notes due September 2015 (2015 Notes)
407

 
—

6.60% Senior notes due April 2016 (2016 Notes)
638

 
638

7.00% Notes due May 2018
120

 
120

2.65% Notes due August 2019 (2019 Notes)
1,000

 
—

4.10% Notes due September 2020 (2020 Notes)
287

 
—

4.50% Senior notes due June 2022 (2022 Notes)
1,000

 
1,000

3.95% Notes due August 2024 (2024 Notes)
1,250

 
—

7.00% Notes due January 2028
18

 
18

6.13% Notes due November 2032 (2032 Notes)
164

 
—

4.88% Notes due August 2034 (2034 Notes)
500

 
—

5.15% Notes due August 2044 (2044 Notes)
500

 
—

Discount on senior notes
(12
)
 
(6
)
Term loan facility:
 
 
 
3-year tranche
1,172

 
—

5-year tranche A
353

 
—

5-year tranche B
552

 
—

Amortizing Notes - Tangible Equity Units (see Note 8: Equity)
205

 
—

GO Zone tax-exempt bonds
—

 
100

Other
24

 
80

Total debt
8,178

 
2,408

Less current debt
643

 
513

Total long-term debt
$
7,535

 
$
1,895

Equity (Tables)
Schedule of Share Repurchases 
A summary of cumulative share repurchases of our Class A Stock is as follows:
 
 
 
 
 
 
 
 
 
 
in millions
 
 
 
September 27, 2014
 
September 28, 2013
 
September 29, 2012
 
 
Shares
 
Dollars
 
Shares
 
Dollars
 
Shares
 
Dollars
Shares repurchased:
 
 
 
 
 
 
 
 
 
 
 
 
Under share repurchase program
 
7.1

 
$
250

 
21.1

 
$
550

 
12.5

 
$
230

To fund certain obligations under equity compensation plans
 
1.2

 
45

 
2.8

 
64

 
1.8

 
34

Total share repurchases
 
8.3

 
$
295

 
23.9

 
$
614

 
14.3

 
$
264

Schedule of Tangible Equity Units 
The aggregate values assigned upon issuance of each component of the TEU's, based on the relative fair value of the respective components of each TEU, were as follows:
 
 
 
in millions, except price per TEU
 
 
Equity Component
 
Debt Component
 
Total
Price per TEU
$
43.17

 
$
6.83

 
$
50.00

Gross Proceeds
1,295

 
205

 
1,500

Issuance cost
(40
)
 
(6
)
 
(46
)
Net proceeds
$
1,255

 
$
199

 
$
1,454

Income Taxes (Tables)
Schedule Of Provision For Income Taxes From Continuing Operations 
Detail of the provision for income taxes from continuing operations consists of the following:
 
 
 
 
 
in millions  

 
2014

 
2013

 
2012

Federal
$
325

 
$
341

 
$
310

State
67

 
38

 
22

Foreign
4

 
30

 
19

 
$
396

 
$
409

 
$
351

 
 
 
 
 
 
Current
$
501

 
$
421

 
$
211

Deferred
(105
)
 
(12
)
 
140

 
$
396

 
$
409

 
$
351

Schedule Of Reasons For Differences Between Statutory Federal Tax Rate And Effective Income Tax Rate 
The reasons for the difference between the statutory federal income tax rate and our effective income tax rate from continuing operations are as follows:
 
2014

 
2013

 
2012

Federal income tax rate
35.0
 %
 
35.0
 %
 
35.0
 %
State income taxes
2.8

 
2.4

 
1.5

Unrecognized tax benefits, net
(4.7
)
 
(0.2
)
 
0.6

Domestic production deduction
(4.0
)
 
(3.2
)
 
(1.8
)
Foreign rate differences and valuation allowances
2.8

 
0.3

 
1.8

Other
(0.3
)
 
(1.7
)
 
(0.7
)
 
31.6
 %
 
32.6
 %
 
36.4
 %
Schedule Of Tax Effects Of Major Items Recorded As Deferred Tax Assets And Liabilities 
The tax effects of major items recorded as deferred tax assets and liabilities as of September 27, 2014, and September 28, 2013, are as follows:
 
 
 
 
 
 
 
in millions

 
2014
 
2013
 
Deferred Tax
 
Deferred Tax
 
Assets

 
Liabilities

 
Assets

 
Liabilities

Property, plant and equipment
$
—

 
$
732

 
$
—

 
$
525

Suspended taxes from conversion to accrual method
—

 
66

 
—

 
71

Intangible assets
—

 
2,031

 
—

 
29

Inventory
24

 
121

 
8

 
110

Accrued expenses
474

 
—

 
209

 
—

Net operating loss and other carryforwards
96

 
—

 
77

 
—

Insurance reserves
21

 
—

 
22

 
—

Other
80

 
82

 
60

 
98

 
$
695

 
$
3,032

 
$
376

 
$
833

Valuation allowance
$
(51
)
 
 
 
$
(77
)
 
 
Net deferred tax liability
 
 
$
2,388

 
 
 
$
534

Schedule Of Activity Related To Gross Unrecognized Tax Benefits 
The following table summarizes the activity related to our gross unrecognized tax benefits at September 27, 2014, September 28, 2013, and September 29, 2012:
 
 
 
 
 
in millions

 
2014

 
2013

 
2012

Balance as of the beginning of the year
$
175

 
$
168

 
$
174

Increases related to current year tax positions
11

 
3

 
3

Increases related to prior year tax positions
17

 
15

 
5

Increases related to Hillshire Brands balances
136

 
—

 
—

Reductions related to prior year tax positions
(20
)
 
(6
)
 
(10
)
Reductions related to settlements
(1
)
 
(2
)
 
(1
)
Reductions related to expirations of statute of limitations
(46
)
 
(3
)
 
(3
)
Balance as of the end of the year
$
272

 
$
175

 
$
168

Earnings Per Share (Tables)
Schedule Of Earnings Per Share, Basic And Diluted
The earnings and weighted average common shares used in the computation of basic and diluted earnings per share are as follows:
 
in millions, except per share data
 
 
2014

 
2013

 
2012

Numerator:
 
 
 
 
 
Income from continuing operations
$
856

 
$
848

 
$
614

Less: Net loss attributable to noncontrolling interests
(8
)
 
—

 
(7
)
Net income from continuing operations attributable to Tyson
864

 
848

 
621

Less dividends declared:
 
 
 
 
 
Class A
94

 
87

 
47

Class B
21

 
19

 
10

Undistributed earnings
$
749

 
$
742

 
$
564

 
 
 
 
 
 
Class A undistributed earnings
$
612

 
$
606

 
$
464

Class B undistributed earnings
137

 
136

 
100

Total undistributed earnings
$
749

 
$
742

 
$
564

 
 
 
 
 
 
Denominator:
 
 
 
 
 
Denominator for basic earnings per share:
 
 
 
 
 
Class A weighted average shares
284

 
282

 
293

Class B weighted average shares, and shares under if-converted method for diluted earnings per share
70

 
70

 
70

Effect of dilutive securities:
 
 
 
 
 
Stock options and restricted stock
5

 
5

 
4

Tangible Equity Units
1

 
—

 
—

Convertible 2013 Notes
—

 
7

 
3

Warrants
4

 
3

 
—

Denominator for diluted earnings per share – adjusted weighted average shares and assumed conversions
364

 
367

 
370

 
 
 
 
 
 
Net Income Per Share from Continuing Operations Attributable to Tyson:
 
 
 
 
Class A Basic
$
2.48

 
$
2.46

 
$
1.75

Class B Basic
$
2.26

 
$
2.22

 
$
1.57

Diluted
$
2.37

 
$
2.31

 
$
1.68

 
 
 
 
 
 
Net Income Per Share Attributable to Tyson:
 
 
 
 
 
Class A Basic
$
2.48

 
$
2.26

 
$
1.64

Class B Basic
$
2.26

 
$
2.04

 
$
1.48

Diluted
$
2.37

 
$
2.12

 
$
1.58

Derivative Financial Instruments (Tables)
Schedule Of Derivative Instruments In Statement Of Financial Position, Fair Value 
The following table sets forth the fair value of all derivative instruments outstanding in the Consolidated Balance Sheets:
 
in millions
 
 
Fair Value
 
September 27, 2014

 
September 28, 2013

Derivative Assets:
 
 
 
Derivatives designated as hedging instruments:
 
 
 
Commodity contracts
$
17

 
$
4

Foreign exchange contracts
—

 
1

Total derivative assets – designated
17

 
5

 
 
 
 
Derivatives not designated as hedging instruments:
 
 
 
Commodity contracts
42

 
25

Foreign exchange contracts
—

 
2

Total derivative assets – not designated
42

 
27

 
 
 
 
Total derivative assets
$
59

 
$
32

Derivative Liabilities:
 
 
 
Derivatives designated as hedging instruments:
 
 
 
Commodity contracts
$
78

 
$
29

Foreign exchange contracts
—

 
—

Total derivative liabilities – designated
78

 
29

 
 
 
 
Derivatives not designated as hedging instruments:
 
 
 
Commodity contracts
80

 
72

Foreign exchange contracts
2

 
1

Total derivative liabilities – not designated
82

 
73

 
 
 
 
Total derivative liabilities
$
160

 
$
102

Schedule Of Notional Amount Of Derivatives 
We had the following aggregated notional values of outstanding forward and option contracts accounted for as cash flow hedges:
 
 
 
 
in millions, except soy meal tons
 
 
 
Metric
 
September 27, 2014

 
September 28, 2013

Commodity:
 
 
 
 
 
 
Corn
 
Bushels
 
—

 
5

Soy Meal
 
Tons
 
2,300

 
96,800

Foreign Currency
 
United States dollar
 
$
1

 
$
60

Schedule Of Derivative Instruments, Gain (Loss) In Statement Of Financial Performance 
The following table sets forth the pretax impact of cash flow hedge derivative instruments in the Consolidated Statements of Income:
 
 
 
 
 
 
 
 
 
 
 
in millions
 
 
Gain/(Loss)
Recognized in OCI
on Derivatives
 
 
Consolidated
Statements of Income
Classification
 
Gain/(Loss)
Reclassified from
OCI to Earnings
 
 
2014

 
2013

 
2012

 
 
 
2014

 
2013

 
2012

Cash Flow Hedge – Derivatives designated as hedging instruments:
 
 
 
 
 
 
 
 
 
 
 
 
 
Commodity contracts
$
(7
)
 
$
(29
)
 
$
24

 
Cost of Sales
 
$
(10
)
 
$
(5
)
 
$
(16
)
Foreign exchange contracts
(1
)
 
(2
)
 
(8
)
 
Other Income/Expense
 
—

 
(4
)
 
4

Total
$
(8
)
 
$
(31
)
 
$
16

 
 
 
$
(10
)
 
$
(9
)
 
$
(12
)
Schedule Of Notional Amount Of Derivatives 
We had the following aggregated notional values of outstanding forward contracts entered into to hedge firm commitments which are accounted for as a fair value hedge:
 
 
 
 
 
 
in millions

 
 
Metric
 
September 27, 2014

 
September 28, 2013

Commodity:
 
 
 
 
 
 
Live Cattle
 
Pounds
 
427

 
209

Lean Hogs
 
Pounds
 
329

 
384

Schedule Of Derivative Instruments, Gain (Loss) In Statement Of Financial Performance 
 
 
in millions
 
 
 
Consolidated
Statements of Income
Classification
 
2014

 
2013

 
2012

Gain/(Loss) on forwards
 
Cost of Sales
 
$
(154
)
 
$
21

 
$
47

Gain/(Loss) on purchase contract
 
Cost of Sales
 
154

 
(21
)
 
(47
)
Schedule Of Notional Amount Of Derivatives 
We had the following aggregate outstanding notional values related to our undesignated positions:
 
 
 
 
in millions, except soy meal tons
 
 
 
Metric
 
September 27, 2014

 
September 28, 2013

Commodity:
 
 
 
 
 
 
Corn
 
Bushels
 
—

 
69

Soy Meal
 
Tons
 
195,800

 
204,600

Soy Oil
 
Pounds
 
3

 
11

Live Cattle
 
Pounds
 
22

 
60

Lean Hogs
 
Pounds
 
22

 
159

Foreign Currency
 
United States dollars
 
$
108

 
$
95

Schedule Of Derivative Instruments, Gain (Loss) In Statement Of Financial Performance 
The following table sets forth the pretax impact of the undesignated derivative instruments in the Consolidated Statements of Income:
 
 
 
 
in millions
 
 
 
Consolidated
Statements of Income
Classification
 
Gain/(Loss)
Recognized
in Earnings
 
 
 
 
 
2014

 
2013

 
2012

Derivatives not designated as hedging instruments:
 
 
 
 
 
 
 
 
Commodity contracts
 
Sales
 
$
75

 
$
(10
)
 
$
(10
)
Commodity contracts
 
Cost of Sales
 
(136
)
 
(24
)
 
51

Foreign exchange contracts
 
Other Income/Expense
 
—

 
2

 
—

Total
 
 
 
$
(61
)
 
$
(32
)
 
$
41

Fair Value Measurements (Tables)
Schedule Of Assets And Liabilities Measured At Fair Value On A Recurring Basis 
The following tables set forth by level within the fair value hierarchy our financial assets and liabilities accounted for at fair value on a recurring basis according to the valuation techniques we used to determine their fair values:
 
 
 
 
 
 
 
in millions
 
September 27, 2014
Level 1

 
Level 2

 
Level 3

 
Netting (a)

 
Total

Assets:
 
 
 
 
 
 
 
 
 
Commodity Derivatives
$
—

 
$
59

 
$
—

 
$
(50
)
 
$
9

Foreign Exchange Forward Contracts
—

 
—

 
—

 
—

 
—

Available for Sale Securities:
 
 
 
 
 
 
 
 
 
Current
—

 
1

 
—

 
—

 
1

Non-current
1

 
24

 
67

 
—

 
92

Deferred Compensation Assets
15

 
218

 
—

 
—

 
233

Total Assets
$
16

 
$
302

 
$
67

 
$
(50
)
 
$
335

 
 
 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
 
 
Commodity Derivatives
$
—

 
$
158

 
$
—

 
$
(148
)
 
$
10

Foreign Exchange Forward Contracts
—

 
2

 
—

 
—

 
2

Total Liabilities
$
—

 
$
160

 
$
—

 
$
(148
)
 
$
12

 
 
 
 
 
 
 
 
 
 
September 28, 2013
Level 1

 
Level 2

 
Level 3

 
Netting (a)

 
Total

Assets:
 
 
 
 
 
 
 
 
 
Commodity Derivatives
$
—

 
$
29

 
$
—

 
$
(21
)
 
$
8

Foreign Exchange Forward Contracts
—

 
3

 
—

 
(1
)
 
2

Available for Sale Securities:
 
 
 
 
 
 
 
 
 
Current
—

 
1

 
—

 
—

 
1

Non-current
4

 
24

 
65

 
—

 
93

Deferred Compensation Assets
23

 
191

 
—

 
—

 
214

Total Assets
$
27

 
$
248

 
$
65

 
$
(22
)
 
$
318

 
 
 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
 
 
Commodity Derivatives
$
—

 
$
101

 
$
—

 
$
(101
)
 
$
—

Foreign Exchange Forward Contracts
—

 
1

 
—

 
—

 
1

Total Liabilities
$
—

 
$
102

 
$
—

 
$
(101
)
 
$
1

(a)
Our derivative assets and liabilities are presented in our Consolidated Balance Sheets on a net basis. We net derivative assets and liabilities, including cash collateral, when a legally enforceable master netting arrangement exists between the counterparty to a derivative contract and us. At September 27, 2014, and September 28, 2013, we had posted with various counterparties $98 million and $79 million, respectively, of cash collateral related to our commodity derivatives and held no cash collateral.
Schedule Of Debt Securities Measured At Fair Value On A Recurring Basis, Unobservable Input Reconciliation 
The following table provides a reconciliation between the beginning and ending balance of debt securities measured at fair value on a recurring basis in the table above that used significant unobservable inputs (Level 3):
 
 
 
in millions

 
September 27, 2014

 
September 28, 2013

Balance at beginning of year
$
65

 
$
86

Total realized and unrealized gains (losses):
 
 
 
Included in earnings
—

 
1

Included in other comprehensive income (loss)
—

 
—

Purchases
25

 
19

Issuances
—

 
—

Settlements
(23
)
 
(41
)
Balance at end of year
$
67

 
$
65

Total gains (losses) for the periods included in earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at end of year
$
—

 
$
—

Schedule Of Available For Sale Securities 
 
 
 
 
 
 
 
 
 
in millions
 
 
September 27, 2014
 
September 28, 2013
 
Amortized
Cost Basis

 
Fair
Value

 
Unrealized
Gain/(Loss)

 
Amortized
Cost Basis

 
Fair
Value

 
Unrealized
Gain/(Loss)

Available for Sale Securities:
 
 
 
 
 
 
 
 
 
 
 
Debt Securities:
 
 
 
 
 
 
 
 
 
 
 
U.S. Treasury and Agency
$
25

 
$
25

 
$
—

 
$
25

 
$
25

 
$
—

Corporate and Asset-Backed
65

 
67

 
2

 
64

 
65

 
1

Equity Securities:
 
 
 
 
 
 
 
 
 
 
 
Common Stock and Warrants (a)
1

 
1

 
—

 
9

 
4

 
(5
)
 
(a)
At September 27, 2014, the amortized cost basis for Equity Securities had been reduced by accumulated other than temporary impairment of approximately $2 million.
Schedule Of Fair Value And Carrying Value Of Debt 
Fair value of our debt is principally estimated using Level 2 inputs based on quoted prices for those or similar instruments. Fair value and carrying value for our debt are as follows:
 
 
 
 
 
in millions
 
 
September 27, 2014
 
September 28, 2013
 
Fair
Value

 
Carrying
Value

 
Fair
Value

 
Carrying
Value

Total Debt
$
8,347

 
$
8,178

 
$
2,541

 
$
2,408

Stock-Based Compensation (Tables)
Schedule Of Summary Of Stock Options 
 
Shares Under
Option

 
Weighted
Average Exercise
Price Per Share

 
Weighted Average
Remaining
Contractual Life
(in Years)
 
Aggregate
Intrinsic Value
(in millions)

Outstanding, September 28, 2013
13,912,168

 
$
16.59

 
 
 
 
Exercised
(4,168,070
)
 
16.13

 
 
 
 
Canceled
(270,989
)
 
23.79

 
 
 
 
Granted
4,251,300

 
31.82

 
 
 
 
Outstanding, September 27, 2014
13,724,409

 
$
21.30

 
7.0
 
$
226

 
 
 
 
 
 
 
 
Exercisable, September 27, 2014
6,866,204

 
$
16.35

 
5.3
 
$
147

Schedule Of Assumptions Of Fair Value Calculation Of Each Year's Grants 
Assumptions as of the grant date used in the fair value calculation of each year’s grants are outlined in the following table.
 
2014

 
2013

 
2012

Expected life (in years)
6.0

 
6.2

 
6.7

Risk-free interest rate
1.3
%
 
0.7
%
 
0.9
%
Expected volatility
36.0
%
 
36.8
%
 
36.6
%
Expected dividend yield
1.0
%
 
1.0
%
 
1.0
%
Schedule Of Summary Of Restricted Stock 
 
Number of Shares

 
Weighted
Average Grant-
Date Fair Value
Per Share

 
Weighted Average
Remaining
Contractual Life
(in Years)
 
Aggregate
Intrinsic Value
(in millions)

Nonvested, September 28, 2013
1,138,699

 
$
16.86

 
 
 
 
Granted
423,453

 
31.98

 
 
 
 
Dividends
9,225

 
37.14

 
 
 
 
Vested
(584,360
)
 
17.66

 
 
 
 
Forfeited
(48,073
)
 
20.83

 
 
 
 
Nonvested, September 27, 2014
938,944

 
$
23.18

 
1.2
 
$
35

Schedule Of Summary Of Performance-Based Shares 
 
Number of Shares

 
Weighted
Average Grant-
Date Fair Value
Per Share

 
Weighted Average
Remaining
Contractual Life
(in Years)
Nonvested, September 28, 2013
1,001,310

 
$
20.99

 
 
Granted
585,418

 
35.66

 
 
Vested
(42,282
)
 
16.26

 
 
Forfeited
(140,843
)
 
23.68

 
 
Nonvested, September 27, 2014
1,403,603

 
$
26.77

 
1.5
Pensions And Other Postretirement Benefits (Tables)
Schedule Of Reconciliation Of Changes In Plans' Benefit Obligations, Assets And Funded Status 
The following table provides a reconciliation of the changes in the plans’ benefit obligations, assets and funded status at September 27, 2014, and September 28, 2013:
 
 
 
 
 
 
 
 
 
in millions
 
 
Pension Benefits
 
Other Postretirement
 
Qualified
 
Non-Qualified
 
Benefits
 
2014

 
2013

 
2014

 
2013

 
2014

 
2013

Change in benefit obligation
 
 
 
 
 
 
 
 
 
 
 
Benefit obligation at beginning of year
$
86

 
$
101

 
$
85

 
$
81

 
$
71

 
$
64

Service cost
1

 
—

 
7

 
5

 
2

 
2

Interest cost
10

 
4

 
5

 
3

 
3

 
2

Plan participants’ contributions
—

 
—

 
—

 
—

 
1

 
1

Actuarial (gain)/loss
(37
)
 
(9
)
 
15

 
(2
)
 
(8
)
 
7

Benefits paid
(11
)
 
(10
)
 
(3
)
 
(2
)
 
(6
)
 
(5
)
Business acquisition
1,800

 
—

 
73

 
—

 
100

 
—

Benefit obligation at end of year
1,849

 
86

 
182

 
85

 
163

 
71

Change in plan assets
 
 
 
 
 
 
 
 
 
 
 
Fair value of plan assets at beginning of year
85

 
86

 
—

 
—

 
—

 
—

Actual return on plan assets
(36
)
 
3

 
—

 
—

 
—

 
—

Employer contributions
6

 
6

 
3

 
2

 
5

 
4

Plan participants’ contributions
—

 
—

 
—

 
—

 
1

 
1

Benefits paid
(11
)
 
(10
)
 
(3
)
 
(2
)
 
(6
)
 
(5
)
Business acquisition
1,603

 
—

 
3

 
—

 
—

 
—

Fair value of plan assets at end of year
1,647

 
85

 
3

 
—

 
—

 
—

Funded status
$
(202
)
 
$
(1
)
 
$
(179
)
 
$
(85
)
 
$
(163
)
 
$
(71
)
Schedule Of Amounts Recognized In The Consolidated Balance Sheets 
Amounts recognized in the Consolidated Balance Sheets consist of:
 
 
 
 
 
 
 
 
 
in millions
 
 
Pension Benefits
 
Other Postretirement
 
Qualified
 
Non-Qualified
 
Benefits
 
2014

 
2013

 
2014

 
2013

 
2014

 
2013

Other current liabilities
$
—

 
$
—

 
$
(5
)
 
$
—

 
$
(7
)
 
$
—

Other liabilities
(202
)
 
(1
)
 
(174
)
 
(85
)
 
(156
)
 
(71
)
Accumulated other comprehensive (income)/loss:
 
 
 
 
 
 
 
 
 
 
 
   Actuarial loss
39

 
30

 
36

 
23

 
—

 
—

   Prior service cost/(credit)
—

 
—

 
—

 
—

 
(2
)
 
(3
)
Net amount recognized
$
(163
)
 
$
29

 
$
(143
)
 
$
(62
)
 
$
(165
)
 
$
(74
)
Schedule Of Plans With Accumulated Benefit Obligations In Excess Of Plan Assets 
Plans with accumulated benefit obligations in excess of plan assets are as follows:
 
 
 
 
 
in millions
 
 
Pension Benefits
 
Qualified
 
Non-Qualified
 
2014

 
2013

 
2014

 
2013

Projected benefit obligation
$
1,829

 
$
27

 
$
182

 
$
85

Accumulated benefit obligation
1,829

 
27

 
172

 
72

Fair value of plan assets
1,627

 
26

 
3

 
—

Schedule Of Components Of Net Periodic Benefit Cost For Pension And Postretirement Benefit Plans Recognized In The Consolidated Statements Of Income 
Components of net periodic benefit cost for pension and postretirement benefit plans recognized in the Consolidated Statements of Income are as follows:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
in millions
 
 
Pension Benefits
 
Other Postretirement
 
Qualified
 
Non-Qualified
 
Benefits
 
2014

 
2013

 
2012

 
2014

 
2013

 
2012

 
2014

 
2013

 
2012

Service cost
$
1

 
$
—

 
$
—

 
$
7

 
$
5

 
$
5

 
$
2

 
$
2

 
$
1

Interest cost
10

 
4

 
4

 
5

 
3

 
3

 
3

 
2

 
2

Expected return on plan assets
(13
)
 
(5
)
 
(6
)
 
—

 
—

 
—

 
—

 
—

 
—

Amortization of prior service cost
—

 
—

 
—

 
—

 
1

 
1

 
—

 
(1
)
 
(1
)
Recognized actuarial (gain) loss, net
2

 
4

 
3

 
2

 
3

 
1

 
(8
)
 
7

 
24

Net periodic benefit cost
$
—

 
$
3

 
$
1

 
$
14

 
$
12

 
$
10

 
$
(3
)
 
$
10

 
$
26

Schedule Of Weighted Average Assumptions 
Weighted average assumptions are as follows:
 
Pension Benefits
 
Other Postretirement
 
Qualified
 
Non-Qualified
 
Benefits
 
2014

 
2013

 
2012

 
2014

 
2013

 
2012

 
2014

 
2013

 
2012

Discount rate to determine net periodic benefit cost
4.37
%
 
4.02
%
 
4.53
%
 
5.01
%
 
4.23
%
 
4.75
%
 
4.41
%
 
3.66
%
 
4.09
%
Discount rate to determine benefit obligations
4.32
%
 
4.77
%
 
4.02
%
 
4.36
%
 
5.09
%
 
4.23
%
 
3.97
%
 
4.48
%
 
3.66
%
Rate of compensation increase
0.01
%
 
N/A

 
N/A

 
2.11
%
 
3.50
%
 
3.50
%
 
N/A

 
N/A

 
N/A

Expected return on plan assets
6.37
%
 
5.44
%
 
6.37
%
 
N/A

 
N/A

 
N/A

 
N/A

 
N/A

 
N/A

Schedule of Health Care Cost Trend Rates 
A one-percentage-point change in assumed health-care cost trend rates would have the following effects:
 
 
 
in millions

 
One Percentage Point Increase
 
One Percentage Point Decrease
Effect on postretirement benefit obligation
$
17

 
$
13

Effect on total service and interest components
2

 
1

Schedule Of Actual And Target Asset Allocation For Pension Plan Assets 
The following table sets forth the actual and target asset allocation for pension plan assets:
 
2014

 
2013

 
Target Asset
Allocation

Cash
4.9
%
 
1.6
%
 
0.3
%
Fixed Income Securities
80.5

 
79.1

 
84.9

U.S. Stock Funds
6.0

 
4.3

 
5.4

International Stock Funds
6.2

 
7.3

 
6.3

Real Estate
2.0

 
3.8

 
2.0

Other
0.4

 
3.9

 
1.1

Total
100.0
%
 
100.0
%
 
100.0
%
Schedule Of Categories Of Pension Plan Assets And Level Under Which Fair Values Were Determined In Fair Value Hierarchy 
The following tables show the categories of pension plan assets and the level under which fair values were determined in the fair value hierarchy, which is described in Note 13: Fair Value Measurements.
 
in millions
 
September 27, 2014
Level 1

 
Level 2 (a)

 
Level 3 (b)

 
Total

Cash and cash equivalents
$
79

 
$
—

 
$
—

 
$
79

Fixed Income Securities:
 
 
 
 
 
 
 
Bond and fixed income funds
—

 
377

 
—

 
377

Corporate bonds
—

 
680

 
—

 
680

Government and municipal bonds
—

 
253

 
—

 
253

Mortgage backed securities
—

 
—

 
7

 
7

Total fixed income securities
—

 
1,310

 
7

 
1,317

Equity Securities:
 
 
 
 
 
 


U.S. securities funds
—

 
84

 
—

 
84

Non-U.S. securities funds
—

 
101

 
—

 
101

Commodity funds
—

 
14

 
—

 
14

Global real estate funds
—

 
33

 
—

 
33

Total equity securities
—

 
232

 
—

 
232

Other
—

 
7

 
—

 
7

Insurance Contract at Contract Value
—

 
—

 
15

 
15

Total plan assets
$
79

 
$
1,549

 
$
22

 
$
1,650

 
in millions
 
September 28, 2013
Level 1

 
Level 2 (a)

 
Level 3 (b)

 
Total

Cash and cash equivalents
$
1

 
$
—

 
$
—

 
$
1

Fixed Income Securities:
 
 
 
 
 
 
 
Bond and fixed income funds
—

 
56

 
—

 
56

Corporate bonds
—

 
—

 
—

 
—

Government and municipal bonds
—

 
—

 
—

 
—

Mortgage backed securities
—

 
—

 
—

 
—

Total fixed income securities
—

 
56

 
—

 
56

Equity Securities:
 
 
 
 
 
 
 
U.S. securities funds
—

 
3

 
—

 
3

Non-U.S. securities funds
—

 
5

 
—

 
5

Commodity funds
—

 
—

 
—

 
—

Global real estate funds
—

 
3

 
—

 
3

Total equity securities
—

 
11

 
—

 
11

Other
—

 
—

 
3

 
3

Insurance Contract at Contract Value
—

 
—

 
14

 
14

Total plan assets
$
1

 
$
67

 
$
17

 
$
85

(a)
We classify our investments in U.S. government, U.S. agency, fixed income funds, bond funds, corporate bonds, and other debt securities as Level 2 as fair value is generally estimated using discounted cash flow models that are primarily industry-standard models that consider various assumptions, including time value and yield curve as well as other readily available relevant economic measures. Funds are valued using the net asset value (NAV) provided by the trustee, which is a practical expedient to estimating fair value. The NAV is based on the fair value of the underlying investments within the funds and is determined daily.
(b)
We classify certain mortgage-backed, asset-backed and insurance contracts as Level 3 as there is limited activity or less observable inputs into valuation models, including current interest rates and estimated prepayment, default and recovery rates on the underlying portfolio or structured investment vehicle. The insurance contracts are valued using the plan’s own assumptions about the assumptions market participants would use in pricing the assets based on the best information available, such as investment manager pricing. Significant changes to assumptions or unobservable inputs in the valuation of our Level 3 instruments would not have a significant impact to our consolidated financial statements.
Schedule Of Reconciliation Of Change In Fair Value Measurement Of Defined Benefit Plans' Consolidated Assets Using Significant Unobservable Inputs 
A reconciliation of the change in the fair value measurement of the defined benefit plans’ consolidated assets using significant unobservable inputs (Level 3) is as follows:
 
 
 
 
 
 
 
in millions

 
Mortgage backed securities

 
Other 

 
Insurance contract

 
Total

Balance at September 28, 2013
$
—

 
$
3

 
$
14

 
17

Actual return on plan assets:
 
 
 
 
 
 


Assets still held at reporting date
—

 
—

 
—

 
—

Assets sold during the period
—

 
—

 
—

 
—

Purchases, sales and settlements, net
—

 
—

 
1

 
1

Transfers in and/or out of Level 3
7

 
(3
)
 
—

 
4

Balance at September 27, 2014
$
7

 
$
—

 
$
15

 
$
22

Schedule Of Estimated Future Benefit Payments Expected To Be Paid 
The following benefit payments are expected to be paid:
 
 
 
 
 
in millions

 
Pension Benefits
 
Other Postretirement
 
Qualified
 
Non-Qualified
 
Benefits
2015
$
108

 
$
8

 
$
12

2016
82

 
9

 
12

2017
85

 
9

 
12

2018
89

 
9

 
12

2019
92

 
10

 
12

2020-2024
506

 
54

 
64

Schedule of Multiemployer Plans 
In addition to regular contributions, we could be obligated to pay additional contributions (known as complete or partial withdrawal liabilities) if it has unfunded vested benefits.
 
 
 
PPA Zone Status
 
FIP/RP Status
Contributions (in millions)
 
Surcharge Imposed
 
 
Pension Fund Plan Name
EIN/Pension Plan Number
 
2014
 
2013
 
Pending/ Implemented
2014
 
2014
 
Expiration Date of Collective Bargaining Agreement
Bakery and Confectionary Union & Industry International Pension Fund
52-6118572/001
 
Red
 
Red
 
Nov 2012
 
$1
 
10%
 
Oct 2015
Comprehensive Income (Loss) (Tables)
Schedule Of Components Of Accumulated Other Comprehensive Income (Loss) 
The components of accumulated other comprehensive loss are as follows:
 
 
 
in millions

 
2014

 
2013

Accumulated other comprehensive income (loss), net of taxes:
 
 
 
Unrealized net hedging gain (loss)
$
(3
)
 
$
(4
)
Unrealized net gain (loss) on investments
2

 
(2
)
Currency translation adjustment
(99
)
 
(69
)
Postretirement benefits reserve adjustments
(47
)
 
(33
)
Total accumulated other comprehensive loss
$
(147
)
 
$
(108
)
Schedule Of Components Of Other Comprehensive Income (Loss) 
The before and after tax changes in the components of other comprehensive income (loss) are as follows:
 
 
 
 
 
 
 
 
 
 
in millions
 
 
 
2014
 
2013
 
2012
 
 
Before Tax
Tax
After Tax
 
Before Tax
Tax
After Tax
 
Before Tax
Tax
After Tax
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivatives accounted for as cash flow hedges:
 
 
 
 
 
 
 
 
 
 
 
 
(Gain) loss reclassified to Cost of Sales
 
$
10

$
(4
)
$
6

 
$
5

$
(2
)
$
3

 
$
16

$
(7
)
$
9

(Gain) loss reclassified to Other Income/Expense
 
—

—

—

 
4

(2
)
2

 
(4
)
2

(2
)
Unrealized gain (loss)
 
(8
)
3

(5
)
 
(31
)
12

(19
)
 
16

(6
)
10

 
 
 
 
 
 
 
 
 
 
 
 
 
Investments:
 
 
 
 
 
 
 
 
 
 
 
 
(Gain) loss reclassified to Other Income/Expense
 
8

(2
)
6

 
(1
)
—

(1
)
 
—

—

—

Unrealized gain (loss)
 
(2
)
—

(2
)
 
(4
)
2

(2
)
 
—

—

—

 
 
 
 
 
 
 
 
 
 
 
 
 
Currency translation:
 
 
 
 
 
 
 
 
 
 
 
 
Translation gain reclassified to Other Income/Expense
 
—

—

—

 
(19
)
(1
)
(20
)
 
—

—

—

Translation adjustment
 
(32
)
2

(30
)
 
(20
)
3

(17
)
 
2

1

3

 
 
 
 
 
 
 
 
 
 
 
 
 
Postretirement benefits
 
(23
)
9

(14
)
 
15

(6
)
9

 
(6
)
2

(4
)
Total Other Comprehensive Income (Loss)
 
$
(47
)
$
8

$
(39
)
 
$
(51
)
$
6

$
(45
)
 
$
24

$
(8
)
$
16

Segment Reporting (Tables)
Schedule Of Segment Reporting Information, By Segment
 
in millions
 
 
Chicken

 
Beef

 
Pork

 
Prepared
Foods

 
International

 
Other

 
Intersegment
Sales

 
Consolidated

Fiscal 2014
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Sales
$
11,116

 
$
16,177

 
$
6,304

 
$
3,927

 
$
1,381

 
$
—

 
$
(1,325
)
 
$
37,580

Operating Income (Loss)
883

 
347

 
455

 
(60
)
 
(121
)
 
(74
)
 
 
 
1,430

Total Other (Income) Expense
 
 
 
 
 
 
 
 
 
 
 
 
 
 
178

Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,252

Depreciation
251

 
87

 
32

 
78

 
40

 
6

 
 
 
494

Total Assets
4,807

 
3,103

 
965

 
8,608

 
871

 
5,602

 
 
 
23,956

Additions to property, plant and equipment
307

 
115

 
36

 
77

 
46

 
51

 
 
 
632

Fiscal 2013
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Sales
$
10,988

 
$
14,400

 
$
5,408

 
$
3,322

 
$
1,324

 
$
46

 
$
(1,114
)
 
$
34,374

Operating Income (Loss)
683

 
296

 
332

 
101

 
(37
)
 
—

 
 
 
1,375

Total Other (Income) Expense
 
 
 
 
 
 
 
 
 
 
 
 
 
 
118

Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,257

Depreciation
251

 
87

 
30

 
61

 
40

 
5

 
 
 
474

Total Assets
4,944

 
2,798

 
931

 
1,176

 
876

 
1,452

 
 
 
12,177

Additions to property, plant and equipment
253

 
105

 
22

 
87

 
58

 
33

 
 
 
558

Fiscal 2012
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Sales
$
10,270

 
$
13,755

 
$
5,510

 
$
3,237

 
$
1,104

 
$
167

 
$
(988
)
 
$
33,055

Operating Income (Loss)
554

 
218

 
417

 
181

 
(70
)
 
(14
)
 
 
 
1,286

Total Other (Income) Expense
 
 
 
 
 
 
 
 
 
 
 
 
 
 
321

Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
 
 
 
 
 
 
965

Depreciation
228

 
86

 
30

 
54

 
40

 
5

 
 
 
443

Total Assets
4,934

 
2,634

 
895

 
960

 
968

 
1,505

 
 
 
11,896

Additions to property, plant and equipment
354

 
100

 
32

 
99

 
97

 
8

 
 
 
690

Supplemental Cash Flow Information (Tables)
Schedule Of Cash Payments For Interest And Income Taxes
The following table summarizes cash payments for interest and income taxes:
 
 
 
 
 
in millions

 
2014

 
2013

 
2012

Interest, net of amounts capitalized
$
118

 
$
114

 
$
274

Income taxes, net of refunds
590

 
310

 
187

Commitments And Contingencies (Tables)
Schedule Of Minimum Lease Commitments Under Non-Cancelable Leases 
Minimum lease commitments under non-cancelable leases at September 27, 2014, were:
 
in millions

2015
$
107

2016
80

2017
56

2018
39

2019
30

2020 and beyond
104

Total
$
416

Schedule Of Future Purchase Commitments 
At September 27, 2014, these commitments totaled:
 
in millions

2015
$
2,625

2016
585

2017
259

2018
271

2019
189

2020 and beyond
249

Total
$
4,178

Quarterly Financial Data (Unaudited) (Tables)
Schedule Of Quarterly Financial Information
 
 
 
 
in millions, except per share data
 
 
 
First
Quarter

 
Second
Quarter

 
Third
Quarter

 
Fourth
Quarter

2014
 
 
 
 
 
 
 
 
Sales
 
$
8,761

 
$
9,032

 
$
9,682

 
$
10,105

Gross profit
 
685

 
651

 
637

 
712

Operating income
 
412

 
361

 
351

 
306

Net income
 
252

 
210

 
258

 
136

Amounts attributable to Tyson:
 
 
 
 
 
 
 
 
   Net income from continuing operations
 
254

 
213

 
260

 
137

Net income attributable to Tyson
 
254

 
213

 
260

 
137

 
 
 
 
 
 
 
 
 
Net income per share from continuing operations attributable to Tyson:
 
 
 
 
 
 
 
Class A Basic (a)
 
$
0.76

 
$
0.64

 
$
0.75

 
$
0.37

Class B Basic
 
$
0.68

 
$
0.58

 
$
0.68

 
$
0.32

Diluted (a)
 
$
0.72

 
$
0.60

 
$
0.73

 
$
0.35

Net income per share attributable to Tyson:
 
 
 
 
 
 
 
 
Class A Basic (a)
 
$
0.76

 
$
0.64

 
$
0.75

 
$
0.37

Class B Basic
 
$
0.68

 
$
0.58

 
$
0.68

 
$
0.32

Diluted (a)
 
$
0.72

 
$
0.60

 
$
0.73

 
$
0.35

2013
 
 
 
 
 
 
 
 
Sales
 
$
8,366

 
$
8,383

 
$
8,731

 
$
8,894

Gross profit
 
539

 
468

 
682

 
669

Operating income
 
304

 
236

 
419

 
416

Net income
 
168

 
106

 
245

 
259

Amounts attributable to Tyson:
 
 
 
 
 
 
 
 
   Net income from continuing operations
 
177

 
157

 
253

 
261

   Net loss from discontinued operation
 
(4
)
 
(62
)
 
(4
)
 
—

Net income attributable to Tyson
 
173

 
95

 
249

 
261

 
 
 
 
 
 
 
 
 
Net income per share from continuing operations attributable to Tyson:
 
 
 
 
 
 
 
Class A Basic
 
$
0.51

 
$
0.45

 
$
0.73

 
$
0.77

Class B Basic
 
$
0.46

 
$
0.40

 
$
0.66

 
$
0.70

Diluted
 
$
0.49

 
$
0.43

 
$
0.69

 
$
0.70

Net loss per share from discontinued operation attributable to Tyson:
 
 
 
 
 
 
 
Class A Basic
 
$
(0.01
)
 
$
(0.18
)
 
$
(0.01
)
 
$
—

Class B Basic
 
$
(0.01
)
 
$
(0.15
)
 
$
(0.02
)
 
$
—

Diluted
 
$
(0.01
)
 
$
(0.17
)
 
$
(0.01
)
 
$
—

Net income per share attributable to Tyson:
 
 
 
 
 
 
 
 
Class A Basic
 
$
0.50

 
$
0.27

 
$
0.72

 
$
0.77

Class B Basic
 
$
0.45

 
$
0.25

 
$
0.64

 
$
0.70

Diluted
 
$
0.48

 
$
0.26

 
$
0.68

 
$
0.70



(a) The sum of the quarterly earnings per share amounts will not equal the total for the year due to the effects of rounding and dilution impact as a result of issuing Class A shares and tangible equity units in the fourth quarter of fiscal 2014.
Condensed Consolidating Financial Statements (Tables)
Schedule Of Condensed Consolidating Statement Of Income 
Condensed Consolidating Statement of Income and Comprehensive Income for the year ended September 27, 2014
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Sales
$
579

 
$
21,924

 
$
16,926

 
$
(1,849
)
 
$
37,580

Cost of Sales
74

 
20,971

 
15,689

 
(1,839
)
 
34,895

Gross Profit
505

 
953

 
1,237

 
(10
)
 
2,685

Selling, General and Administrative
141

 
240

 
884

 
(10
)
 
1,255

Operating Income
364

 
713

 
353

 
—

 
1,430

Other (Income) Expense:

 

 

 

 

Interest expense, net
63

 
49

 
13

 
—

 
125

Other, net
67

 
(1
)
 
(13
)
 
—

 
53

Equity in net earnings of subsidiaries
(731
)
 
(43
)
 
—

 
774

 
—

Total Other (Income) Expense
(601
)
 
5

 
—

 
774

 
178

Income from Continuing Operations before Income Taxes
965

 
708

 
353

 
(774
)
 
1,252

Income Tax Expense
101

 
227

 
68

 
—

 
396

Income from Continuing Operations
864

 
481

 
285

 
(774
)
 
856

Loss from Discontinued Operation, Net of Tax
—

 
—

 
—

 
—

 
—

Net Income
864

 
481

 
285

 
(774
)
 
856

Less: Net Loss Attributable to Noncontrolling Interests
—

 
—

 
(8
)
 
—

 
(8
)
Net Income Attributable to Tyson
$
864

 
$
481

 
$
293

 
$
(774
)
 
$
864

 
 
 
 
 
 
 
 
 
 
Comprehensive Income (Loss)
$
817

 
$
449

 
$
243

 
$
(692
)
 
$
817

Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interest
—

 
—

 
(8
)
 
—

 
(8
)
Comprehensive Income (Loss) Attributable to Tyson
$
817

 
$
449

 
$
251

 
$
(692
)
 
$
825

Condensed Consolidating Statement of Income and Comprehensive Income for the year ended September 28, 2013
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Sales
$
431

 
$
19,243

 
$
16,120

 
$
(1,420
)
 
$
34,374

Cost of Sales
40

 
18,464

 
14,932

 
(1,420
)
 
32,016

Gross Profit
391

 
779

 
1,188

 
—

 
2,358

Selling, General and Administrative
68

 
201

 
714

 
—

 
983

Operating Income
323

 
578

 
474

 
—

 
1,375

Other (Income) Expense:

 

 

 

 

Interest expense, net
36

 
62

 
40

 
—

 
138

Other, net
4

 
(1
)
 
(23
)
 
—

 
(20
)
Equity in net earnings of subsidiaries
(582
)
 
(40
)
 
—

 
622

 
—

Total Other (Income) Expense
(542
)
 
21

 
17

 
622

 
118

Income from Continuing Operations before Income Taxes
865

 
557

 
457

 
(622
)
 
1,257

Income Tax Expense
87

 
172

 
150

 
—

 
409

Income from Continuing Operations
778

 
385

 
307

 
(622
)
 
848

Loss from Discontinued Operation, Net of Tax
—

 
—

 
(70
)
 
—

 
(70
)
Net Income
778

 
385

 
237

 
(622
)
 
778

Less: Net Loss Attributable to Noncontrolling Interests
—

 
—

 
—

 
—

 
—

Net Income Attributable to Tyson
$
778

 
$
385

 
$
237

 
$
(622
)
 
$
778

 
 
 
 
 
 
 
 
 
 
Comprehensive Income (Loss)
$
733

 
$
380

 
$
212

 
$
(592
)
 
$
733

Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interests
—

 
—

 
—

 
—

 
—

Comprehensive Income (Loss) Attributable to Tyson
$
733

 
$
380

 
$
212

 
$
(592
)
 
$
733

Condensed Consolidating Statement of Income and Comprehensive Income for the year ended September 29, 2012
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Sales
$
352

 
$
18,832

 
$
15,152

 
$
(1,281
)
 
$
33,055

Cost of Sales
(4
)
 
18,088

 
14,061

 
(1,280
)
 
30,865

Gross Profit
356

 
744

 
1,091

 
(1
)
 
2,190

Selling, General and Administrative
59

 
205

 
641

 
(1
)
 
904

Operating Income
297

 
539

 
450

 
—

 
1,286

Other (Income) Expense:
 
 
 
 
 
 
 
 
 
Interest expense, net
49

 
143

 
152

 
—

 
344

Other, net
1

 
—

 
(24
)
 
—

 
(23
)
Equity in net earnings of subsidiaries
(427
)
 
(43
)
 
—

 
470

 
—

Total Other (Income) Expense
(377
)
 
100

 
128

 
470

 
321

Income from Continuing Operations before Income Taxes
674

 
439

 
322

 
(470
)
 
965

Income Tax Expense
91

 
130

 
130

 
—

 
351

Income from Continuing Operations
583

 
309

 
192

 
(470
)
 
614

Loss from Discontinued Operation, Net of Tax
—

 
—

 
(38
)
 
—

 
(38
)
Net Income
583

 
309

 
154

 
(470
)
 
576

Less: Net Loss Attributable to Noncontrolling Interests
—

 
—

 
(7
)
 
—

 
(7
)
Net Income Attributable to Tyson
$
583

 
$
309

 
$
161

 
$
(470
)
 
$
583

 
 
 
 
 
 
 
 
 
 
Comprehensive Income (Loss)
$
599

 
$
324

 
$
166

 
$
(497
)
 
$
592

Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interests
—

 
—

 
(7
)
 
—

 
(7
)
Comprehensive Income (Loss) Attributable to Tyson
$
599

 
$
324

 
$
173

 
$
(497
)
 
$
599

Schedule Of Condensed Consolidating Balance Sheet 
Condensed Consolidating Balance Sheet as of September 27, 2014
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Assets
 
 
 
 
 
 
 
 
 
Current Assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
—

 
$
41

 
$
397

 
$
—

 
$
438

Accounts receivable, net
3

 
665

 
1,016

 
—

 
1,684

Inventories
—

 
1,272

 
2,002

 
—

 
3,274

Other current assets
42

 
78

 
379

 
(120
)
 
379

Assets held for sale
3

 
—

 
443

 
—

 
446

Total Current Assets
48

 
2,056

 
4,237

 
(120
)
 
6,221

Net Property, Plant and Equipment
30

 
932

 
4,168

 
—

 
5,130

Goodwill
—

 
881

 
5,825

 
—

 
6,706

Intangible Assets
—

 
15

 
5,261

 
—

 
5,276

Other Assets
204

 
148

 
326

 
(55
)
 
623

Investment in Subsidiaries
20,845

 
2,049

 
—

 
(22,894
)
 
—

Total Assets
$
21,127

 
$
6,081

 
$
19,817

 
$
(23,069
)
 
$
23,956

Liabilities and Shareholders’ Equity
 
 
 
 
 
 
 
 
 
Current Liabilities:
 
 
 
 
 
 
 
 
 
Current debt
$
240

 
$
—

 
$
403

 
$
—

 
$
643

Accounts payable
35

 
755

 
1,016

 
—

 
1,806

Other current liabilities
4,718

 
235

 
921

 
(4,667
)
 
1,207

Liabilities held for sale
—

 
—

 
141

 
—

 
141

Total Current Liabilities
4,993

 
990

 
2,481

 
(4,667
)
 
3,797

Long-Term Debt
7,056

 
2

 
532

 
(55
)
 
7,535

Deferred Income Taxes
21

 
96

 
2,333

 
—

 
2,450

Other Liabilities
167

 
125

 
978

 
—

 
1,270

 
 
 
 
 
 
 
 
 
 
Total Tyson Shareholders’ Equity
8,890

 
4,868

 
13,479

 
(18,347
)
 
8,890

Noncontrolling Interests
—

 
—

 
14

 
—

 
14

Total Shareholders’ Equity
8,890

 
4,868

 
13,493

 
(18,347
)
 
8,904

Total Liabilities and Shareholders’ Equity
$
21,127

 
$
6,081

 
$
19,817

 
$
(23,069
)
 
$
23,956

Condensed Consolidating Balance Sheet as of September 28, 2013
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Assets
 
 
 
 
 
 
 
 
 
Current Assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
—

 
$
21

 
$
1,124

 
$
—

 
$
1,145

Accounts receivable, net
—

 
571

 
926

 
—

 
1,497

Inventories
—

 
1,039

 
1,778

 
—

 
2,817

Other current assets
351

 
88

 
117

 
(411
)
 
145

Total Current Assets
351

 
1,719

 
3,945

 
(411
)
 
5,604

Net Property, Plant and Equipment
32

 
891

 
3,130

 
—

 
4,053

Goodwill
—

 
881

 
1,021

 
—

 
1,902

Intangible Assets
—

 
21

 
117

 
—

 
138

Other Assets
895

 
162

 
244

 
(821
)
 
480

Investment in Subsidiaries
11,975

 
2,035

 
—

 
(14,010
)
 
—

Total Assets
$
13,253

 
$
5,709

 
$
8,457

 
$
(15,242
)
 
$
12,177

Liabilities and Shareholders’ Equity
 
 
 
 
 
 
 
 
 
Current Liabilities:
 
 
 
 
 
 
 
 
 
Current debt
$
457

 
$
132

 
$
251

 
$
(327
)
 
$
513

Accounts payable
27

 
575

 
757

 
—

 
1,359

Other current liabilities
4,625

 
200

 
901

 
(4,588
)
 
1,138

Total Current Liabilities
5,109

 
907

 
1,909

 
(4,915
)
 
3,010

Long-Term Debt
1,770

 
679

 
241

 
(795
)
 
1,895

Deferred Income Taxes
24

 
93

 
362

 
—

 
479

Other Liabilities
149

 
155

 
282

 
(26
)
 
560

 
 
 
 
 
 
 
 
 
 
Total Tyson Shareholders’ Equity
6,201

 
3,875

 
5,631

 
(9,506
)
 
6,201

Noncontrolling Interests
—

 
—

 
32

 
—

 
32

Total Shareholders’ Equity
6,201

 
3,875

 
5,663

 
(9,506
)
 
6,233

Total Liabilities and Shareholders’ Equity
$
13,253

 
$
5,709

 
$
8,457

 
$
(15,242
)
 
$
12,177

Schedule Of Condensed Consolidating Statement Of Cash Flows 
Condensed Consolidating Statement of Cash Flows for the year ended September 27, 2014
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Cash Provided by (Used for) Operating Activities
$
132

 
$
431

 
$
660

 
$
(45
)
 
$
1,178

Cash Flows from Investing Activities:
 
 
 
 
 
 
 
 
 
Additions to property, plant and equipment
(1
)
 
(147
)
 
(484
)
 
—

 
(632
)
(Purchases of)/Proceeds from marketable securities, net
—

 
—

 
15

 
—

 
15

Proceeds from notes receivable
—

 
—

 
—

 
—

 
—

Acquisitions, net of cash acquired
(8,193
)
 
—

 
—

 
—

 
(8,193
)
Other, net
5

 
2

 
3

 
—

 
10

Cash Provided by (Used for) Investing Activities
(8,189
)
 
(145
)
 
(466
)
 
—

 
(8,800
)
Cash Flows from Financing Activities:
 
 
 
 
 
 
 
 
 
Net change in debt
5,154

 
—

 
(12
)
 
—

 
5,142

Proceeds from issuance of common stock, net of issuance costs
873

 
—

 
—

 
—

 
873

Proceeds from issuance of equity component of tangible equity units
1,255

 
—

 
—

 
—

 
1,255

Purchases of Tyson Class A common stock
(295
)
 
—

 
—

 
—

 
(295
)
Dividends
(104
)
 
—

 
(45
)
 
45

 
(104
)
Stock options exercised
67

 
—

 
—

 
—

 
67

Other, net
(22
)
 
—

 
(1
)
 
—

 
(23
)
Net change in intercompany balances
1,129

 
(266
)
 
(863
)
 
—

 
—

Cash Provided by (Used for) Financing Activities
8,057

 
(266
)
 
(921
)
 
45

 
6,915

Effect of Exchange Rate Change on Cash
—

 
—

 
—

 
—

 
—

Increase (Decrease) in Cash and Cash Equivalents
—

 
20

 
(727
)
 
—

 
(707
)
Cash and Cash Equivalents at Beginning of Year
—

 
21

 
1,124

 
—

 
1,145

Cash and Cash Equivalents at End of Period
$
—

 
$
41

 
$
397

 
$
—

 
$
438

Condensed Consolidating Statement of Cash Flows for the year ended September 28, 2013
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Cash Provided by (Used for) Operating Activities
$
294

 
$
337

 
$
696

 
$
(13
)
 
$
1,314

Cash Flows from Investing Activities:
 
 
 
 
 
 
 
 
 
Additions to property, plant and equipment
(4
)
 
(113
)
 
(441
)
 
—

 
(558
)
(Purchases of)/Proceeds from marketable securities, net
—

 
(13
)
 
(5
)
 
—

 
(18
)
Proceeds from notes receivable
—

 
—

 
—

 
—

 
—

Acquisitions, net of cash acquired
—

 
—

 
(106
)
 
—

 
(106
)
Other, net
—

 
3

 
36

 
—

 
39

Cash Provided by (Used for) Investing Activities
(4
)
 
(123
)
 
(516
)
 
—

 
(643
)
Cash Flows from Financing Activities:
 
 
 
 
 
 
 
 
 
Net change in debt
5

 
—

 
(28
)
 
—

 
(23
)
Proceeds from issuance of common stock, net of issuance costs
—

 
—

 
—

 
—

 
—

Proceeds from issuance of equity component of tangible equity units
—

 
—

 
—

 
—

 
—

Purchases of Tyson Class A common stock
(614
)
 
—

 
—

 
—

 
(614
)
Dividends
(104
)
 
—

 
(13
)
 
13

 
(104
)
Stock options exercised
123

 
—

 
—

 
—

 
123

Other, net
18

 
—

 
—

 
—

 
18

Net change in intercompany balances
281

 
(202
)
 
(79
)
 
—

 
—

Cash Provided by (Used for) Financing Activities
(291
)
 
(202
)
 
(120
)
 
13

 
(600
)
Effect of Exchange Rate Change on Cash
—

 
—

 
3

 
—

 
3

Increase (Decrease) in Cash and Cash Equivalents
(1
)
 
12

 
63

 
—

 
74

Cash and Cash Equivalents at Beginning of Year
1

 
9

 
1,061

 
—

 
1,071

Cash and Cash Equivalents at End of Period
$
—

 
$
21

 
$
1,124

 
$
—

 
$
1,145

Condensed Consolidating Statement of Cash Flows for the year ended September 29, 2012
 
in millions
 
 
TFI
Parent

 
TFM
Parent

 
Non-
Guarantors

 
Eliminations

 
Total

Cash Provided by (Used for) Operating Activities
$
312

 
$
438

 
$
447

 
$
(10
)
 
$
1,187

Cash Flows from Investing Activities:
 
 
 
 
 
 
 
 
 
Additions to property, plant and equipment
(1
)
 
(104
)
 
(585
)
 
—

 
(690
)
(Purchases of)/Proceeds from marketable securities, net
—

 
(7
)
 
(4
)
 
—

 
(11
)
Proceeds from notes receivable
—

 
—

 
—

 
—

 
—

Acquisitions, net of cash acquired
—

 
—

 
—

 
—

 
—

Other, net
1

 
5

 
35

 
—

 
41

Cash Provided by (Used for) Investing Activities
—

 
(106
)
 
(554
)
 
—

 
(660
)
Cash Flows from Financing Activities:
 
 
 
 
 
 
 
 
 
Net change in debt
107

 
—

 
16

 
—

 
123

Proceeds from issuance of common stock, net of issuance costs
—

 
—

 
—

 
—

 
—

Proceeds from issuance of equity component of tangible equity units
—

 
—

 
—

 
—

 
—

Purchases of Tyson Class A common stock
(264
)
 
—

 
—

 
—

 
(264
)
Dividends
(57
)
 
—

 
(10
)
 
10

 
(57
)
Stock options exercised
34

 
—

 
—

 
—

 
34

Other, net
(8
)
 
—

 
1

 
—

 
(7
)
Net change in intercompany balances
(124
)
 
(324
)
 
448

 
—

 
—

Cash Provided by (Used for) Financing Activities
(312
)
 
(324
)
 
455

 
10

 
(171
)
Effect of Exchange Rate Change on Cash
—

 
—

 
(1
)
 
—

 
(1
)
Increase (Decrease) in Cash and Cash Equivalents
—

 
8

 
347

 
—

 
355

Cash and Cash Equivalents at Beginning of Year
1

 
1

 
714

 
—

 
716

Cash and Cash Equivalents at End of Period
$
1

 
$
9

 
$
1,061

 
$
—

 
$
1,071

Business And Summary Of Significant Accounting Policies (Schedule Of Inventories Of Processed Products, Livestock, And Supplies Valued At Lower Of Cost Or Market) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Inventory Disclosure [Abstract]
 
 
Processed products
$ 1,794 
$ 1,423 
Livestock
1,066 
1,002 
Supplies and other
414 
392 
Total inventory
$ 3,274 
$ 2,817 
Business And Summary Of Significant Accounting Policies Business and Summary of Significant Accounting Policies (Other Current Liabilities) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Other Liabilities, Current [Abstract]
 
 
Accrued salaries, wages and benefits
$ 490 
$ 419 
Other
717 
719 
Total other current liabilities
$ 1,207 
$ 1,138 
Business And Summary Of Significant Accounting Policies (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Accounting Policies [Line Items]
 
 
 
Checks outstanding in excess of related book cash
$ 298 
$ 246 
 
Allowance for uncollectible accounts
34 
46 
 
Percentage of FIFO Inventory
66.00% 
58.00% 
 
Maximum length of time hedged anticipated transactions
18 months 
 
 
Advertising and promotion expenses
641 
555 
496 
Research and development costs
$ 52 
$ 50 
$ 43 
Buildings And Leasehold Improvements [Member] |
Minimum [Member]
 
 
 
Accounting Policies [Line Items]
 
 
 
Property, plant, and equipment estimated lives
10 years 
 
 
Buildings And Leasehold Improvements [Member] |
Maximum [Member]
 
 
 
Accounting Policies [Line Items]
 
 
 
Property, plant, and equipment estimated lives
33 years 
 
 
Machinery And Equipment [Member] |
Minimum [Member]
 
 
 
Accounting Policies [Line Items]
 
 
 
Property, plant, and equipment estimated lives
3 years 
 
 
Machinery And Equipment [Member] |
Maximum [Member]
 
 
 
Accounting Policies [Line Items]
 
 
 
Property, plant, and equipment estimated lives
12 years 
 
 
Land Improvements and Other [Member] |
Minimum [Member]
 
 
 
Accounting Policies [Line Items]
 
 
 
Property, plant, and equipment estimated lives
3 years 
 
 
Land Improvements and Other [Member] |
Maximum [Member]
 
 
 
Accounting Policies [Line Items]
 
 
 
Property, plant, and equipment estimated lives
20 years 
 
 
Acquisitions and Dispositions Preliminary Fair Value of Assets Acquired and Liabilities Assumed at Acquisition Date (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Sep. 27, 2014
Hillshire Brands Company [Member]
Aug. 28, 2014
Hillshire Brands Company [Member]
Business Acquisition [Line Items]
 
 
 
 
 
Cash and cash equivalents
 
 
 
 
$ 72 
Accounts receivable
 
 
 
 
236 
Inventories
 
 
 
 
421 
Other current assets
 
 
 
 
344 
Property, Plant and Equipment
 
 
 
 
1,306 
Goodwill
6,706 
1,902 
1,891 
4,800 
4,804 
Intangible Assets
 
 
 
 
5,141 
Other Assets
 
 
 
 
45 
Accounts payable
 
 
 
 
(347)
Other current liabilities
 
 
 
 
(324)
Long-Term Debt
 
 
 
 
(868)
Deferred Income Taxes
 
 
 
 
(2,069)
Other Liabilities
 
 
 
 
(517)
Net asset acquired
 
 
 
 
$ 8,244 
Acquisitions and Dispositions Schedule of Intangible Assets Acquired as Part of Business Combination (Details) (USD $)
In Millions, unless otherwise specified
0 Months Ended
Aug. 28, 2014
Hillshire Brands Company [Member]
Mar. 29, 2014
Series of Individually Immaterial Business Acquisitions [Member]
Sep. 28, 2013
Series of Individually Immaterial Business Acquisitions [Member]
Aug. 28, 2014
Trademarks [Member]
Hillshire Brands Company [Member]
Aug. 28, 2014
Customer Relationships [Member]
Hillshire Brands Company [Member]
Aug. 28, 2014
Noncompete Agreements [Member]
Hillshire Brands Company [Member]
Aug. 28, 2014
Trademarks [Member]
Hillshire Brands Company [Member]
Schedule of Intangible Assets Acquired as Part of Business Combination [Line Items]
 
 
 
 
 
 
 
Fair Value, Indefinite-lived Intangible Assets
 
 
 
 
 
 
$ 4,062 
Fair Value, Finite-lived Intangible Assets
 
 
 
532 
541 
6 
 
Total identifiable intangible assets
$ 5,141 
$ 27 
$ 41 
 
 
 
 
Life in Years
 
 
 
20 years 
 
1 year 
 
Life in Years
 
 
 
 
16 years 
 
 
Acquisitions and Dispositions Acquisitions Pro Forma Information (Details) (Hillshire Brands Company [Member], USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Hillshire Brands Company [Member]
 
 
Business Acquisition [Line Items]
 
 
Pro forma sales
$ 41,311 
$ 38,195 
Pro forma net income from continuing operations attributable to Tyson
$ 1,047 
$ 655 
Pro forma net income per diluted share from continuing operations attributable to Tyson (in dollars per share)
$ 2.50 
$ 1.52 
Acquisitions and Dispositions Summary of Net Assets Held for Sale (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
 
 
Total assets held for sale
$ 446 
$ 0 
Total liabilities held for sale
141 
0 
International [Member] |
Chicken Production Operations in Brazil and Mexico [Member]
 
 
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
 
 
Accounts receivable, net
74 
 
Inventories
141 
 
Other current assets
72 
 
Net property, plant and equipment
132 
 
Goodwill
16 
 
Other assets
11 
 
Total assets held for sale
446 
 
Current debt
32 
 
Accounts payable
61 
 
Other current liabilities
27 
 
Long-term debt
9 
 
Deferred income taxes
12 
 
Total liabilities held for sale
$ 141 
 
Acquisitions (Narrative) (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended 0 Months Ended 3 Months Ended 12 Months Ended 12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Aug. 28, 2014
Hillshire Brands Company [Member]
Sep. 27, 2014
Hillshire Brands Company [Member]
Aug. 28, 2014
Hillshire Brands Company [Member]
Mar. 29, 2014
Series of Individually Immaterial Business Acquisitions [Member]
business
Sep. 28, 2013
Series of Individually Immaterial Business Acquisitions [Member]
business
Sep. 27, 2014
Prepared Foods [Member]
Sep. 28, 2013
Prepared Foods [Member]
Sep. 29, 2012
Prepared Foods [Member]
Sep. 27, 2014
Prepared Foods [Member]
Hillshire Brands Company [Member]
Business Acquisition [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
Purchase price per share of acquired entity's common stock (in dollars per share)
 
 
 
$ 63.00 
 
 
 
 
 
 
 
 
Purchase price
 
 
 
$ 8,081 
 
 
 
 
 
 
 
 
Breakage costs incurred related to a previously proposed acquisition
 
 
 
163 
 
 
 
 
 
 
 
 
Goodwill
6,706 
1,902 
1,891 
 
4,800 
4,804 
18 
12 
92 
75 
63 
 
Business Acquisition, Period Results Included in Combined Entity
 
 
 
 
 
 
 
 
 
 
 
1 month 
Business Combination, Pro Forma Information, Transaction Related Expenses Incurred by Acquiree Included in Pro Forma Results
 
168 
 
 
 
 
 
 
 
 
 
 
Business Combination, Pro Forma Information, Transaction Related Expenses Incurred Included in Pro Forma Results
 
115 
 
 
 
 
 
 
 
 
 
 
Business Combination, Pro Forma Information, Fair Value Inventory Adjustment Included in Pro Forma Results
 
32 
 
 
 
 
 
 
 
 
 
 
Number of Businesses Acquired
 
 
 
 
 
 
1 
2 
 
 
 
 
Acquisitions, net of cash acquired
8,193 
106 
0 
 
 
 
56 
106 
 
 
 
 
Property, Plant and Equipment
 
 
 
 
 
1,306 
12 
50 
 
 
 
 
Intangible Assets
 
 
 
 
 
$ 5,141 
$ 27 
$ 41 
 
 
 
 
Dispositions (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended 3 Months Ended 1 Months Ended 9 Months Ended 1 Months Ended
Jun. 28, 2014
Prepared Foods [Member]
Facility Closing [Member]
Jun. 28, 2014
Prepared Foods [Member]
Operating Segments [Member]
Facility Closing [Member]
Facilities
Sep. 27, 2014
Prepared Foods [Member]
Operating Segments [Member]
Facility Closing [Member]
Facilities
Jul. 28, 2014
Chicken Production Operations in Brazil and Mexico [Member]
International [Member]
Sep. 27, 2014
Chicken Production Operations in Brazil [Member]
International [Member]
Jun. 28, 2014
Dynamic Fuels Deconsolidation [Member]
Jun. 28, 2014
Dynamic Fuels Deconsolidation [Member]
Variable Interest Entity, Primary Beneficiary [Member]
Jun. 28, 2014
Dynamic Fuels Deconsolidation [Member]
Variable Interest Entity, Primary Beneficiary [Member]
Sep. 28, 2013
Dynamic Fuels Deconsolidation [Member]
Variable Interest Entity, Primary Beneficiary [Member]
Jun. 28, 2014
Dynamic Fuels Deconsolidation [Member]
Variable Interest Entity, Primary Beneficiary [Member]
Cost of Sales [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
 
 
 
 
 
 
 
 
 
 
Disposal Group, Consideration
 
 
 
$ 575 
 
 
 
 
 
 
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage
 
 
 
 
 
 
 
50.00% 
 
 
Proceeds from Divestiture of Businesses
 
 
 
 
 
 
30 
 
 
 
Future Contingent Cash Payment
 
 
 
 
 
 
35 
 
 
 
Disposal Group, Future Contingent Consideration, Period of production volumes
 
 
 
 
 
11 years 6 months 
 
 
 
 
Guarantor Obligations Release of Guarantees
 
 
 
 
 
100 
 
 
 
 
Gain (Loss) on Disposition of Business
 
 
 
 
 
 
 
 
 
3 
Variable Interest Entity, Consolidated, Carrying Amount, Assets
 
 
 
 
 
 
 
 
166 
 
Variable Interest Entity, Consolidated, Carrying Amount, Property, Plant and Equipment
 
 
 
 
 
 
 
 
142 
 
Variable Interest Entity, Consolidated, Carrying Amount, Liabilities
 
 
 
 
 
 
 
 
113 
 
Variable Interest Entity, Consolidated, Carrying Amount, Long-term Debt
 
 
 
 
 
 
 
 
100 
 
Asset Impairment Charges
$ 49 
 
$ 52 
 
$ 39 
 
 
 
 
 
Plants Closed
 
3 
3 
 
 
 
 
 
 
 
Discontinued Operation (Summary of Discontinued Operation's Results) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
 
 
 
Loss from Discontinued Operation, Net of Tax
$ 0 
$ (70)
$ (38)
Weifang Operation [Member]
 
 
 
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
 
 
 
Sales
0 
108 
223 
Pretax loss
0 
(68)
(38)
Income tax expense
0 
(2)
0 
Loss from Discontinued Operation, Net of Tax
$ 0 
$ (70)
$ (38)
Discontinued Operation (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended 3 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Mar. 30, 2013
Weifang Operation [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
 
 
 
 
Asset Impairment Charges
$ 107 
$ 74 
$ 34 
$ 56 
Property, Plant And Equipment (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
$ 10,381 
$ 9,202 
Less accumulated depreciation
5,251 
5,149 
Net property, plant and equipment
5,130 
4,053 
Amount required to complete construction of buildings and equipment under construction
661 
 
Land [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
126 
100 
Buildings And Leasehold Improvements [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
3,501 
2,945 
Machinery And Equipment [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
6,144 
5,504 
Land Improvements And Other [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
276 
417 
Buildings And Equipment Under Construction [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
$ 334 
$ 236 
Goodwill And Other Intangible Assets (Goodwill Activity) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Goodwill [Roll Forward]
 
 
 
Goodwill, beginning of period
$ 2,491 
$ 2,480 
 
Accumulated impairment losses
(594)
(589)
(589)
Goodwill, net
6,706 
1,902 
1,891 
Goodwill acquired
4,827 
12 
 
Reclass to assets held for sale
(16)
 
 
Impairment losses
(5)
0 
 
Currency translation and other
(2)
(1)
 
Goodwill, end of period
7,300 
2,491 
 
Chicken [Member]
 
 
 
Goodwill [Roll Forward]
 
 
 
Goodwill, beginning of period
908 
909 
 
Accumulated impairment losses
0 
0 
0 
Goodwill, net
907 
908 
909 
Goodwill acquired
0 
0 
 
Reclass to assets held for sale
0 
 
 
Impairment losses
0 
0 
 
Currency translation and other
(1)
(1)
 
Goodwill, end of period
907 
908 
 
Beef [Member]
 
 
 
Goodwill [Roll Forward]
 
 
 
Goodwill, beginning of period
1,123 
1,123 
 
Accumulated impairment losses
(560)
(560)
(560)
Goodwill, net
563 
563 
563 
Goodwill acquired
0 
0 
 
Reclass to assets held for sale
0 
 
 
Impairment losses
0 
0 
 
Currency translation and other
0 
0 
 
Goodwill, end of period
1,123 
1,123 
 
Pork [Member]
 
 
 
Goodwill [Roll Forward]
 
 
 
Goodwill, beginning of period
317 
317 
 
Accumulated impairment losses
0 
0 
0 
Goodwill, net
317 
317 
317 
Goodwill acquired
0 
0 
 
Reclass to assets held for sale
0 
 
 
Impairment losses
0 
0 
 
Currency translation and other
0 
0 
 
Goodwill, end of period
317 
317 
 
Prepared Foods [Member]
 
 
 
Goodwill [Roll Forward]
 
 
 
Goodwill, beginning of period
75 
63 
 
Accumulated impairment losses
0 
0 
0 
Goodwill, net
92 
75 
63 
Goodwill acquired
18 
12 
 
Reclass to assets held for sale
0 
 
 
Impairment losses
0 
0 
 
Currency translation and other
(1)
0 
 
Goodwill, end of period
92 
75 
 
International [Member]
 
 
 
Goodwill [Roll Forward]
 
 
 
Goodwill, beginning of period
68 
68 
 
Accumulated impairment losses
(34)
(29)
(29)
Goodwill, net
23 
39 
39 
Goodwill acquired
5 
0 
 
Impairment losses
(5)
0 
 
Currency translation and other
0 
0 
 
Goodwill, end of period
57 
68 
 
Unallocated Goodwill [Member]
 
 
 
Goodwill [Roll Forward]
 
 
 
Goodwill, beginning of period
0 
0 
 
Accumulated impairment losses
0 
0 
0 
Goodwill, net
4,804 
0 
0 
Goodwill acquired
4,804 
0 
 
Reclass to assets held for sale
0 
 
 
Impairment losses
0 
0 
 
Currency translation and other
0 
0 
 
Goodwill, end of period
4,804 
0 
 
Chicken Production Operations in Brazil and Mexico [Member] |
International [Member]
 
 
 
Goodwill [Roll Forward]
 
 
 
Reclass to assets held for sale
$ (16)
 
 
Goodwill And Other Intangible Assets (Other Intangible Assets By Type) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Finite-Lived Intangible Assets [Line Items]
 
 
Total gross amortizable intangible assets
$ 1,331 
$ 229 
Less accumulated amortization
133 
107 
Total net amortizable intangible assets
1,198 
122 
Brands and trademarks not subject to amortization
4,078 
16 
Total intangible assets
5,276 
138 
Brands and Trademarks [Member]
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
Total gross amortizable intangible assets
611 
69 
Customer Relationships [Member]
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
Total gross amortizable intangible assets
570 
12 
Patents, Intellectual Property and Other [Member]
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
Total gross amortizable intangible assets
136 
140 
Non-compete Agreements [Member]
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
Total gross amortizable intangible assets
6 
0 
Land Use Rights [Member]
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
Total gross amortizable intangible assets
$ 8 
$ 8 
Goodwill And Other Intangible Assets (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Finite-Lived Intangible Assets [Line Items]
 
 
 
Amortization expense on intangible assets
$ 26 
$ 17 
$ 16 
Estimated amortization expense on intangible assets, 2015
94 
 
 
Estimated amortization expense on intangible assets, 2016
85 
 
 
Estimated amortization expense on intangible assets, 2017
80 
 
 
Estimated amortization expense on intangible assets, 2018
79 
 
 
Estimated amortization expense on intangible assets, 2019
$ 75 
 
 
Maximum [Member]
 
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
 
Finite-Lived Intangible Asset, Useful Life
20 years 
 
 
Debt (Major Components Of Debt) (Details) (USD $)
In Millions, unless otherwise specified
1 Months Ended 3 Months Ended 1 Months Ended 3 Months Ended 1 Months Ended 3 Months Ended
Sep. 27, 2014
Jul. 31, 2014
Sep. 28, 2013
Sep. 27, 2014
3.25% Convertible senior notes due October 2013 [Member]
Sep. 28, 2013
3.25% Convertible senior notes due October 2013 [Member]
Sep. 30, 2008
3.25% Convertible senior notes due October 2013 [Member]
Sep. 27, 2014
2.75% Senior notes due September 2015 [Member]
Aug. 31, 2014
2.75% Senior notes due September 2015 [Member]
Sep. 28, 2013
2.75% Senior notes due September 2015 [Member]
Sep. 27, 2014
6.60% Senior Notes Due April 2016 [Member]
Sep. 28, 2013
6.60% Senior Notes Due April 2016 [Member]
Sep. 27, 2008
6.60% Senior Notes Due April 2016 [Member]
Sep. 27, 2014
7.00% Notes Due May 2018 [Member]
Sep. 28, 2013
7.00% Notes Due May 2018 [Member]
Sep. 27, 2014
2.65% Senior notes due August 2019 [Member]
Sep. 28, 2013
2.65% Senior notes due August 2019 [Member]
Sep. 27, 2014
4.10% Notes due September 2020 [Member]
Aug. 31, 2014
4.10% Notes due September 2020 [Member]
Sep. 28, 2013
4.10% Notes due September 2020 [Member]
Sep. 27, 2014
4.50% Senior Notes Due June 2022 [Member]
Sep. 28, 2013
4.50% Senior Notes Due June 2022 [Member]
Jun. 30, 2012
4.50% Senior Notes Due June 2022 [Member]
Sep. 27, 2014
3.95% Notes due August 2024 [Member]
Sep. 28, 2013
3.95% Notes due August 2024 [Member]
Sep. 27, 2014
7.00% Notes due January 2028 [Member]
Sep. 28, 2013
7.00% Notes due January 2028 [Member]
Sep. 27, 2014
6.13% Notes due November 2032 [Member]
Aug. 31, 2014
6.13% Notes due November 2032 [Member]
Sep. 28, 2013
6.13% Notes due November 2032 [Member]
Sep. 27, 2014
4.88% Notes due August 2034 [Member]
Sep. 28, 2013
4.88% Notes due August 2034 [Member]
Sep. 27, 2014
5.15% Notes due August 2044 [Member]
Sep. 28, 2013
5.15% Notes due August 2044 [Member]
Aug. 31, 2014
3-Year Tranche [Member]
Term Loan [Member]
Sep. 27, 2014
3-Year Tranche [Member]
Term Loan [Member]
Sep. 28, 2013
3-Year Tranche [Member]
Term Loan [Member]
Aug. 31, 2014
5-Year Tranche A [Member]
Term Loan [Member]
Sep. 27, 2014
5-Year Tranche A [Member]
Term Loan [Member]
Sep. 28, 2013
5-Year Tranche A [Member]
Term Loan [Member]
Aug. 31, 2014
5-Year Tranche B [Member]
Term Loan [Member]
Sep. 27, 2014
5-Year Tranche B [Member]
Term Loan [Member]
Sep. 28, 2013
5-Year Tranche B [Member]
Term Loan [Member]
Sep. 27, 2014
GO Zone tax-exempt bonds [Member]
Sep. 28, 2013
GO Zone tax-exempt bonds [Member]
Debt Instrument [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revolving credit facility
$ 0 
 
$ 0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior Notes
 
 
 
0 
458 
 
407 
 
0 
638 
638 
 
120 
120 
1,000 
0 
287 
 
0 
1,000 
1,000 
 
1,250 
0 
18 
18 
164 
 
0 
500 
0 
500 
0 
 
1,172 
0 
 
353 
0 
 
552 
0 
 
 
Discount on senior notes
(12)
 
(6)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(5)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amortizing Notes - Tangible Equity Units
205 
65 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
GO Zone tax-exempt bonds
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
100 
Other
24 
 
80 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total debt
8,178 
 
2,408 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Less current debt
643 
 
513 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total long-term debt
$ 7,535 
 
$ 1,895 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Stated interest rate
 
 
 
3.25% 
 
3.25% 
2.75% 
2.75% 
 
6.60% 
 
6.60% 
7.00% 
 
2.65% 
 
4.10% 
4.10% 
 
4.50% 
 
4.50% 
3.95% 
 
7.00% 
 
6.13% 
6.13% 
 
4.88% 
 
5.15% 
 
 
 
 
 
 
 
 
 
 
 
 
Debt Instrument, Term
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3 years 
3 years 
 
5 years 
5 years 
 
5 years 
5 years 
 
 
 
Debt (Narrative) (Details) (USD $)
Share data in Millions, unless otherwise specified
0 Months Ended 1 Months Ended 1 Months Ended 0 Months Ended 12 Months Ended 1 Months Ended 3 Months Ended 1 Months Ended 3 Months Ended 1 Months Ended 3 Months Ended
Sep. 27, 2014
Aug. 31, 2014
Sep. 28, 2013
Oct. 15, 2013
3.25% Convertible senior notes due October 2013 [Member]
Sep. 27, 2014
3.25% Convertible senior notes due October 2013 [Member]
Sep. 30, 2008
3.25% Convertible senior notes due October 2013 [Member]
Sep. 27, 2014
6.60% Senior Notes Due April 2016 [Member]
Jun. 7, 2012
6.60% Senior Notes Due April 2016 [Member]
Jun. 6, 2012
6.60% Senior Notes Due April 2016 [Member]
Sep. 27, 2008
6.60% Senior Notes Due April 2016 [Member]
Sep. 27, 2014
2.65% Senior notes due August 2019 [Member]
Sep. 27, 2014
3.95% Notes due August 2024 [Member]
Sep. 27, 2014
4.88% Notes due August 2034 [Member]
Sep. 27, 2014
5.15% Notes due August 2044 [Member]
Jun. 30, 2012
4.50% Senior Notes Due June 2022 [Member]
Sep. 27, 2014
4.50% Senior Notes Due June 2022 [Member]
Sep. 27, 2014
2.75% Senior notes due September 2015 [Member]
Aug. 31, 2014
2.75% Senior notes due September 2015 [Member]
Sep. 27, 2014
4.10% Notes due September 2020 [Member]
Aug. 31, 2014
4.10% Notes due September 2020 [Member]
Sep. 27, 2014
6.13% Notes due November 2032 [Member]
Aug. 31, 2014
6.13% Notes due November 2032 [Member]
Oct. 31, 2008
GO Zone tax-exempt bonds [Member]
Aug. 31, 2014
Unsecured Debt [Member]
Aug. 31, 2014
Unsecured Debt [Member]
2.65% Senior notes due August 2019 [Member]
Aug. 31, 2014
Unsecured Debt [Member]
3.95% Notes due August 2024 [Member]
Aug. 31, 2014
Unsecured Debt [Member]
4.88% Notes due August 2034 [Member]
Aug. 31, 2014
Unsecured Debt [Member]
5.15% Notes due August 2044 [Member]
Oct. 15, 2013
Class A [Member]
3.25% Convertible senior notes due October 2013 [Member]
Sep. 27, 2014
Class A [Member]
2008 Warrants [Member]
Aug. 31, 2014
Term Loan [Member]
Aug. 31, 2014
Term Loan [Member]
3-Year Tranche [Member]
Sep. 27, 2014
Term Loan [Member]
3-Year Tranche [Member]
Aug. 31, 2014
Term Loan [Member]
5-Year Tranche A [Member]
Sep. 27, 2014
Term Loan [Member]
5-Year Tranche A [Member]
Aug. 31, 2014
Term Loan [Member]
5-Year Tranche B [Member]
Sep. 27, 2014
Term Loan [Member]
5-Year Tranche B [Member]
Sep. 27, 2014
Standby Letters of Credit [Member]
Sep. 27, 2014
Bilateral Letters Of Credit [Member]
Aug. 31, 2014
Hillshire Brands Company [Member]
Aug. 31, 2014
Hillshire Brands Company [Member]
2.75% Senior notes due September 2015 [Member]
Aug. 31, 2014
Hillshire Brands Company [Member]
4.10% Notes due September 2020 [Member]
Aug. 31, 2014
Hillshire Brands Company [Member]
6.13% Notes due November 2032 [Member]
Debt Instrument [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Maturities of debt in 2015
$ 644,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Maturities of debt in 2016
885,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Maturities of debt in 2017
1,059,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Maturities of debt in 2018
176,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Maturities of debt in 2019
1,688,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Maximum borrowing capacity under credit facility
1,250,000,000 
1,000,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amount available for borrowing under credit facility
1,209,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Letters of credit issued amount
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
41,000,000 
105,000,000 
 
 
 
 
Debt instrument, face amount
 
 
 
 
 
458,000,000.00 
 
 
 
 
 
 
 
 
1,000,000,000.00 
 
 
 
 
 
 
 
 
3,250,000,000.00 
1,000,000,000.00 
1,250,000,000.00 
500,000,000.00 
500,000,000.00 
 
 
 
 
 
 
 
 
 
 
 
840,000,000.00 
400,000,000.00 
278,000,000.00 
152,000,000.00 
Interest rate
 
 
 
 
3.25% 
3.25% 
6.60% 
 
 
6.60% 
2.65% 
3.95% 
4.88% 
5.15% 
4.50% 
4.50% 
2.75% 
2.75% 
4.10% 
4.10% 
6.13% 
6.13% 
 
 
2.65% 
3.95% 
4.88% 
5.15% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Repayments of Long-term Debt
 
 
 
458,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Stock Issued During Period, Shares, Conversion of Convertible Securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
11.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Stock Redeemed or Called During Period, Shares
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
11.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Stock Issued During Period, Shares, Treasury Stock Reissued
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
11.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
Effective interest rate
 
 
 
 
 
 
 
6.60% 
6.85% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt Instrument, Unamortized Discount
12,000,000 
 
6,000,000 
 
 
 
 
 
 
 
 
 
 
 
5,000,000 
 
 
 
 
 
 
 
 
7,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Proceeds from Issuance of Unsecured Debt
 
 
 
 
 
 
 
 
 
 
 
 
 
 
995,000,000 
 
 
 
 
 
 
 
 
3,243,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt Issuance Cost
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
27,000,000 
 
 
 
 
 
 
11,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
Issue price percent of face value
 
 
 
 
 
 
 
 
 
 
 
 
 
 
99.458% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Payments of Debt Issuance Costs
 
 
 
 
 
 
 
 
 
 
 
 
 
 
9,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans Payable to Bank
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2,300,000,000 
1,202,000,000 
 
546,000,000 
 
552,000,000 
 
 
 
 
 
 
 
Debt Instrument, Term
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3 years 
3 years 
5 years 
5 years 
5 years 
5 years 
 
 
 
 
 
 
Required Quarterly Principal Payment as a Percentage of Remaining Balance
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2.50% 
 
2.50% 
 
 
 
 
 
 
 
 
 
Debt Instrument, Fair Value Disclosure
8,347,000,000 
 
2,541,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
868,000,000 
 
 
 
Proceeds from the sale of Gulf Opportunity Zone tax-exempt bonds
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 100,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity (Schedule of Share Repurchases) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Class of Stock [Line Items]
 
 
 
Dollars
$ 295.00 
$ 614.00 
$ 264.00 
Class A [Member]
 
 
 
Class of Stock [Line Items]
 
 
 
Shares
8.3 
23.9 
14.3 
Dollars
295.00 
614.00 
264.00 
Class A [Member] |
Share Repurchase Program [Member]
 
 
 
Class of Stock [Line Items]
 
 
 
Shares
7.1 
21.1 
12.5 
Dollars
250.00 
550.00 
230.00 
Class A [Member] |
Open Market Repurchases [Member]
 
 
 
Class of Stock [Line Items]
 
 
 
Shares
1.2 
2.8 
1.8 
Dollars
$ 45.00 
$ 64.00 
$ 34.00 
Equity (Schedule of Tangible Equity Units) (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
1 Months Ended 12 Months Ended
Jul. 31, 2014
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Equity [Abstract]
 
 
 
 
Price per TEU, Equity Component (in dollars per share)
$ 43.17 
 
 
 
Price per TEU, Debt Component (in dollars per share)
$ 6.83 
 
 
 
Price per TEU, Total (in dollars per share)
$ 50 
 
 
 
Gross Proceeds, Equity Component
$ 1,295 
 
 
 
Gross Proceeds, Debt Component
205 
205 
0 
0 
Gross Proceeds, Total
1,500 
 
 
 
Issuance cost, Equity Component
(40)
 
 
 
Issuance cost, Debt Component
(6)
 
 
 
Issuance cost, Total
(46)
 
 
 
Net proceeds, Equity Component
1,255 
1,255 
0 
0 
Net proceeds, Debt Component
199 
 
 
 
Net proceeds, Total
$ 1,454 
 
 
 
Equity (Narrative) (Details) (USD $)
1 Months Ended 12 Months Ended 1 Months Ended 12 Months Ended 1 Months Ended 12 Months Ended 0 Months Ended 12 Months Ended 12 Months Ended 0 Months Ended
Jul. 31, 2014
Sep. 27, 2014
Classes
Sep. 28, 2013
Sep. 29, 2012
Jul. 31, 2014
Convertible Debt [Member]
Tangible Equity Unit, Senior Amortizing Note [Member]
Sep. 27, 2014
Class A [Member]
votes
Sep. 28, 2013
Class A [Member]
Sep. 29, 2012
Class A [Member]
Jul. 31, 2014
Class A [Member]
Convertible Debt [Member]
Tangible Equity Unit, Senior Amortizing Note [Member]
Jul. 31, 2014
Class A [Member]
Convertible Debt [Member]
Tangible Equity Unit, Senior Amortizing Note [Member]
Minimum [Member]
Jul. 31, 2014
Class A [Member]
Convertible Debt [Member]
Tangible Equity Unit, Senior Amortizing Note [Member]
Maximum [Member]
Sep. 27, 2014
Class B [Member]
votes
Sep. 28, 2013
Class B [Member]
Sep. 29, 2012
Class B [Member]
Sep. 27, 2014
Tyson Limited Partnership [Member]
Class B [Member]
Sep. 27, 2014
Tyson Limited Partnership And Tyson Family [Member]
Sep. 27, 2014
Tyson Limited Partnership And Tyson Family [Member]
Class A [Member]
Jan. 30, 2014
Share Repurchase Program [Member]
Class A [Member]
Sep. 27, 2014
Share Repurchase Program [Member]
Class A [Member]
Sep. 27, 2014
Hillshire Brands Company [Member]
Aug. 31, 2014
Hillshire Brands Company [Member]
Sep. 27, 2014
Hillshire Brands Company [Member]
Class A [Member]
Nov. 13, 2014
Subsequent Event [Member]
Class A [Member]
Nov. 13, 2014
Subsequent Event [Member]
Class B [Member]
Class of Stock [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of classes of common stock
 
2 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Common stock, par value
 
 
 
 
 
$ 0.1 
$ 0.1 
 
 
 
 
$ 0.1 
$ 0.1 
 
 
 
 
 
 
 
 
 
 
 
Common Stock, Vote Entitlement Per Share
 
 
 
 
 
1 
 
 
 
 
 
10 
 
 
 
 
 
 
 
 
 
 
 
 
Tyson Family Ownership Percentage
 
 
 
 
 
 
 
 
 
 
 
 
 
 
99.985% 
 
1.78% 
 
 
 
 
 
 
 
Related Party Voting Rights Percentage
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
70.14% 
 
 
 
 
 
 
 
 
Cash Dividends, Paid Ratio To Other Class Of Stock, Maximum
 
90.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Common Stock, Dividends, Per Share, Cash Paid
 
 
 
 
 
$ 0.30 
$ 0.3 
$ 0.16 
 
 
 
$ 0.27 
$ 0.27 
$ 0.144 
 
 
 
 
 
 
 
 
 
 
Common Stock, Special Dividends Included in Dividends, Per Share, Cash Paid
 
 
 
 
 
 
$ 0.10 
 
 
 
 
 
$ 0.09 
 
 
 
 
 
 
 
 
 
 
 
Common Stock, Dividends, Per Share, Declared
 
 
 
 
 
$ 0.325 
$ 0.310 
$ 0.160 
 
 
 
$ 0.294 
$ 0.279 
$ 0.144 
 
 
 
 
 
 
 
 
$ 0.10 
$ 0.09 
Stock Repurchase Program, Increase (Decrease) in Authorized Shares
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
25,000,000 
 
 
 
 
 
 
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
32,100,000 
 
 
 
 
 
Stock Issued During Period, Shares, New Issues
 
 
 
 
 
24,000,000 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
23,800,000 
 
 
Proceeds from issuance of common stock, net of issuance costs
 
$ 873,000,000 
$ 0 
$ 0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 873,000,000 
 
 
 
 
TEUs issued (in units)
30,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
TEUs, Dividend Rate
4.75% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net proceeds from issuance of TEUs
1,454,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
TEUs, stated amount per unit (in dollars per unit)
$ 50 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
TEUs, Equity Component
1,295,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
TEUs, Debt Component
205,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
TEUs, Debt Component, Current
65,000,000 
205,000,000 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, initial principal amount
 
 
 
 
6.83 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
840,000,000 
 
 
 
Senior amortizing note, interest rate
 
 
 
 
1.50% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, quarterly principal and interest payment, first three annual quarters
 
 
 
 
0.59 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, quarterly principal and interest payment, fourth annual quarter
 
 
 
 
$ 0.46 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, number of shares to be issued
 
 
 
 
 
 
 
 
 
31,700,000 
39,700,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, conversion price
 
 
 
 
 
 
 
 
$ 47.25 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, number of shares per contract if Applicable Market Value equal to or greater than conversion price
 
 
 
 
 
 
 
 
1.0582 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, reference price
 
 
 
 
 
 
 
 
$ 37.80 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, if applicable market value greater than reference price, number of shares equal to amount divided by Applicable Market Value
 
 
 
 
 
 
 
 
$ 50 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, number of shares per contract, if Applicable Market Value is less than or equal to reference price
 
 
 
 
 
 
 
 
1.3228 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, consecutive trading days for calculation of applicable market value
 
 
 
 
 
 
 
 
20 days 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Senior amortizing note, incremental common shares attributable to dilutive effect of conversion, if applicable market value higher than reference price
 
 
 
 
 
 
 
 
8,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Income Taxes (Provision For Income Taxes From Continuing Operations) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Income Tax Disclosure [Abstract]
 
 
 
Federal
$ 325 
$ 341 
$ 310 
State
67 
38 
22 
Foreign
4 
30 
19 
Current
501 
421 
211 
Deferred
(105)
(12)
140 
Income Tax Expense
$ 396 
$ 409 
$ 351 
Income Taxes (Reasons For Differences Between Statutory Federal Tax Rate And Effective Income Tax Rate) (Details)
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Income Tax Disclosure [Abstract]
 
 
 
Federal income tax rate
35.00% 
35.00% 
35.00% 
State income taxes
2.80% 
2.40% 
1.50% 
Unrecognized tax benefits, net
(4.70%)
(0.20%)
0.60% 
Domestic production deduction
(4.00%)
(3.20%)
(1.80%)
Foreign rate differences and valuation allowances
2.80% 
0.30% 
1.80% 
Other
(0.30%)
(1.70%)
(0.70%)
Effective income tax rate
31.60% 
32.60% 
36.40% 
Income Taxes (Tax Effects Of Major Items Recorded As Deferred Tax Assets And Liabilities) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Income Tax Disclosure [Abstract]
 
 
Deferred Tax Assets, Property, plant and equipment
$ 0 
$ 0 
Deferred Tax Liabilities, Property, plant and equipment
732 
525 
Deferred Tax Assets, Suspended taxes from conversion to accrual method
0 
0 
Deferred Tax Liabilities, Suspended taxes from conversion to accrual method
66 
71 
Deferred Tax Assets, Intangible assets
0 
0 
Deferred Tax Liabilities, Intangible assets
2,031 
29 
Deferred Tax Assets, Inventory
24 
8 
Deferred Tax Liabilities, Inventory
121 
110 
Deferred Tax Assets, Accrued expenses
474 
209 
Deferred Tax Liabilities, Accrued expenses
0 
0 
Deferred Tax Assets, Net operating loss and other carryforwards
96 
77 
Deferred Tax Liabilities, Net operating loss and other carryforwards
0 
0 
Deferred Tax Assets, Insurance reserves
21 
22 
Deferred Tax Liabilities, Insurance reserves
0 
0 
Deferred Tax Assets, Other
80 
60 
Deferred Tax Liabilities, Other
82 
98 
Deferred Tax Assets, Gross
695 
376 
Deferred Tax Liabilities, Gross
3,032 
833 
Deferred Tax Assets, Valuation allowance
(51)
(77)
Net deferred tax liability
$ 2,388 
$ 534 
Income Taxes (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Income Tax Disclosures [Line Items]
 
 
 
Domestic production deduction
$ 50 
$ 40 
$ 17 
Decrease in unrecognized tax benefits
58 
 
 
General business credits
 
17 
 
Foreign valuation allowance, increase in tax expense
 
 
10 
Income (loss) from continuing operations, foreign
(18)
53 
2 
Tax credit carryforwards
25 
 
 
Accumulated undistributed earnings of foreign subsidiaries
403 
351 
 
Repatriation of foreign earnings
17 
 
 
Unrecognized tax benefits that would impact effective tax rate
241 
149 
 
Unrecognized tax benefits, income tax penalties and interest accrued
54 
63 
 
Unrecognized tax benefits, decrease that could result during next twelve months
30 
 
 
Subsidiaries earnings expected to be indefinitely reinvested outside of United States [Member]
 
 
 
Income Tax Disclosures [Line Items]
 
 
 
Accumulated undistributed earnings of foreign subsidiaries
220 
 
 
Chicken Production Operations in Brazil and Mexico [Member]
 
 
 
Income Tax Disclosures [Line Items]
 
 
 
Undistributed Earnings of Foreign Subsidiaries, Not Permanently Reinvested
183 
 
 
State and Local Jurisdiction [Member]
 
 
 
Income Tax Disclosures [Line Items]
 
 
 
Operating loss carryforwards
1,300 
 
 
Foreign Country [Member]
 
 
 
Income Tax Disclosures [Line Items]
 
 
 
Operating loss carryforwards
146 
 
 
Operating loss carryforwards, subject to expiration
$ 50 
 
 
Other Income And Charges (Details) (Other Nonoperating Income (Expense) [Member], USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Mar. 30, 2013
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Components of Other Income and Expenses [Line Items]
 
 
 
 
Equity Earnings In Joint Ventures
 
$ 11 
 
$ 16 
Recognized currency translation adjustment gain
19 
 
19 
 
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities
 
6 
 
 
Foreign currency exchange gains, net
 
3 
 
4 
Hillshire Brands Company [Member] |
Bridge Facility Commitment [Member]
 
 
 
 
Components of Other Income and Expenses [Line Items]
 
 
 
 
Expense Associated with Bridge Facility
 
$ 60 
 
 
Earnings Per Share (Schedule Of Earnings Per Share, Basic And Diluted) (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 12 Months Ended
Sep. 27, 2014
Jun. 28, 2014
Mar. 29, 2014
Dec. 28, 2013
Sep. 28, 2013
Jun. 29, 2013
Mar. 30, 2013
Dec. 29, 2012
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Earnings Per Share, Basic and Diluted [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Income from continuing operations
 
 
 
 
 
 
 
 
$ 856 
$ 848 
$ 614 
Less: Net loss attributable to noncontrolling interest
 
 
 
 
 
 
 
 
(8)
0 
(7)
Net income from continuing operations attributable to Tyson
137 
260 
213 
254 
261 
253 
157 
177 
864 
848 
621 
Undistributed earnings
 
 
 
 
 
 
 
 
749 
742 
564 
Stock options and restricted stock
 
 
 
 
 
 
 
 
5 
5 
4 
Tangible Equity Units
 
 
 
 
 
 
 
 
1 
0 
0 
Convertible 2013 Notes
 
 
 
 
 
 
 
 
0 
7 
3 
Warrants
 
 
 
 
 
 
 
 
4 
3 
0 
Denominator for diluted earnings per share - adjusted weighted average shares and assumed conversions
 
 
 
 
 
 
 
 
364 
367 
370 
Net Income Per Share from Continuing Operations Attributable to Tyson - Diluted
$ 0.35 
$ 0.73 
$ 0.60 
$ 0.72 
$ 0.70 
$ 0.69 
$ 0.43 
$ 0.49 
$ 2.37 
$ 2.31 
$ 1.68 
Net Income Per Share Attributable to Tyson - Diluted
$ 0.35 
$ 0.73 
$ 0.60 
$ 0.72 
$ 0.70 
$ 0.68 
$ 0.26 
$ 0.48 
$ 2.37 
$ 2.12 
$ 1.58 
Class A [Member]
 
 
 
 
 
 
 
 
 
 
 
Earnings Per Share, Basic and Diluted [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Less dividends:
 
 
 
 
 
 
 
 
94 
87 
47 
Undistributed earnings
 
 
 
 
 
 
 
 
612 
606 
464 
Weighted average number of shares outstanding - Basic
 
 
 
 
 
 
 
 
284 
282 
293 
Net Income Per Share from Continuing Operations Attributable to Tyson - Basic
$ 0.37 
$ 0.75 
$ 0.64 
$ 0.76 
$ 0.77 
$ 0.73 
$ 0.45 
$ 0.51 
$ 2.48 
$ 2.46 
$ 1.75 
Net Income Per Share Attributable to Tyson - Basic
$ 0.37 
$ 0.75 
$ 0.64 
$ 0.76 
$ 0.77 
$ 0.72 
$ 0.27 
$ 0.50 
$ 2.48 
$ 2.26 
$ 1.64 
Class B [Member]
 
 
 
 
 
 
 
 
 
 
 
Earnings Per Share, Basic and Diluted [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Less dividends:
 
 
 
 
 
 
 
 
21 
19 
10 
Undistributed earnings
 
 
 
 
 
 
 
 
$ 137 
$ 136 
$ 100 
Weighted average number of shares outstanding - Basic
 
 
 
 
 
 
 
 
70 
70 
70 
Net Income Per Share from Continuing Operations Attributable to Tyson - Basic
$ 0.32 
$ 0.68 
$ 0.58 
$ 0.68 
$ 0.70 
$ 0.66 
$ 0.40 
$ 0.46 
$ 2.26 
$ 2.22 
$ 1.57 
Net Income Per Share Attributable to Tyson - Basic
$ 0.32 
$ 0.68 
$ 0.58 
$ 0.68 
$ 0.70 
$ 0.64 
$ 0.25 
$ 0.45 
$ 2.26 
$ 2.04 
$ 1.48 
Earnings Per Share (Narrative) (Details)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Earnings Per Share, Basic and Diluted [Line Items]
 
 
 
Number of classes of common stock
2 
 
 
Cash Dividends, Paid Ratio To Other Class Of Stock, Maximum
90.00% 
 
 
Class A [Member]
 
 
 
Earnings Per Share, Basic and Diluted [Line Items]
 
 
 
Undistributed earnings (losses), ratio used to calculate allocation to class of stock
1 
 
 
Class B [Member]
 
 
 
Earnings Per Share, Basic and Diluted [Line Items]
 
 
 
Undistributed earnings (losses), ratio used to calculate allocation to class of stock
0.9 
 
 
Stock-based compensation [Member]
 
 
 
Earnings Per Share, Basic and Diluted [Line Items]
 
 
 
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount
4 
0 
4 
Derivative Financial Instruments (Pretax Impact Of Cash Flow Hedge Derivative Instruments On The Consolidated Statements Of Income) (Details) (Cash Flow Hedge [Member], USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in OCI on Derivatives
$ (8)
$ (31)
$ 16 
Gain/(Loss) Reclassified from OCI to Earnings
(10)
(9)
(12)
Commodity Contracts [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in OCI on Derivatives
(7)
(29)
24 
Commodity Contracts [Member] |
Cost of Sales [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Reclassified from OCI to Earnings
(10)
(5)
(16)
Foreign Currency [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in OCI on Derivatives
(1)
(2)
(8)
Foreign Currency [Member] |
Other Nonoperating Income (Expense) [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Reclassified from OCI to Earnings
$ 0 
$ (4)
$ 4 
Derivative Financial Instruments (Pretax Impact Of Fair Value Hedge Derivative Instruments On The Consolidated Statements of Income) (Details) (Fair Value Hedging [Member], Cost of Sales [Member], USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Forward Contracts [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) on forwards
$ (154)
$ 21 
$ 47 
Purchase Contracts [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) on forwards
$ 154 
$ (21)
$ (47)
Derivative Financial Instruments (Pretax Impact Of Undesignated Derivative Instruments On The Consolidated Statements Of Income) (Details) (Not Designated as Hedging Instrument [Member], USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in Earnings
$ (61)
$ (32)
$ 41 
Commodity Contracts [Member] |
Sales [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in Earnings
75 
(10)
(10)
Commodity Contracts [Member] |
Cost of Sales [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in Earnings
(136)
(24)
51 
Foreign Currency [Member] |
Other Nonoperating Income (Expense) [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in Earnings
$ 0 
$ 2 
$ 0 
Derivative Financial Instruments (Fair Value Of All Derivative Instruments) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Derivative [Line Items]
 
 
Derivative Assets
$ 59 
$ 32 
Derivative Liabilities
160 
102 
Designated as Hedging Instrument [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
17 
5 
Derivative Liabilities
78 
29 
Designated as Hedging Instrument [Member] |
Commodity Contracts [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
17 
4 
Derivative Liabilities
78 
29 
Designated as Hedging Instrument [Member] |
Foreign Currency [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
0 
1 
Derivative Liabilities
0 
0 
Not Designated as Hedging Instrument [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
42 
27 
Derivative Liabilities
82 
73 
Not Designated as Hedging Instrument [Member] |
Commodity Contracts [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
42 
25 
Derivative Liabilities
80 
72 
Not Designated as Hedging Instrument [Member] |
Foreign Currency [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
0 
2 
Derivative Liabilities
$ 2 
$ 1 
Derivative Financial Instruments (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Derivative [Line Items]
 
Maximum length of time hedged forecasted transactions, months
18 months 
Maximum length of time hedged undesignated positions, months
18 months 
Grain [Member]
 
Derivative [Line Items]
 
Cash flow hedge gain (loss) to be reclassified within twelve months
$ (4)
Fair Value Measurements (Schedule Of Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Derivative assets and liabilities posted cash collateral
$ 98 
$ 79 
Derivative, Collateral, Obligation to Return Cash
0 
 
Fair Value, Measurements, Recurring [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Derivative Asset, Fair Value, Gross Liability and Obligation to Return Cash, Offset
(50)
(22)
Available-for-sale Securities, Current
1 
1 
Available-for-sale Securities, Noncurrent
92 
93 
Deferred Compensation Assets
233 
214 
Total Assets
335 
318 
Derivative Liability, Fair Value, Gross Asset and Right to Reclaim Cash, Offset
(148)
(101)
Total Liabilities
12 
1 
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale Securities, Current
0 
0 
Available-for-sale Securities, Noncurrent
1 
4 
Deferred Compensation Assets
15 
23 
Total Assets
16 
27 
Total Liabilities
0 
0 
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale Securities, Current
1 
1 
Available-for-sale Securities, Noncurrent
24 
24 
Deferred Compensation Assets
218 
191 
Total Assets
302 
248 
Total Liabilities
160 
102 
Fair Value, Measurements, Recurring [Member] |
Level 3 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale Securities, Current
0 
0 
Available-for-sale Securities, Noncurrent
67 
65 
Deferred Compensation Assets
0 
0 
Total Assets
67 
65 
Total Liabilities
0 
0 
Commodity [Member] |
Fair Value, Measurements, Recurring [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Commodity Derivatives, Assets
9 
8 
Derivative Asset, Fair Value, Gross Liability and Obligation to Return Cash, Offset
(50)
(21)
Commodity Derivatives, Liabilities
10 
0 
Derivative Liability, Fair Value, Gross Asset and Right to Reclaim Cash, Offset
(148)
(101)
Commodity [Member] |
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Commodity Derivatives, Assets
0 
0 
Commodity Derivatives, Liabilities
0 
0 
Commodity [Member] |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Commodity Derivatives, Assets
59 
29 
Commodity Derivatives, Liabilities
158 
101 
Commodity [Member] |
Fair Value, Measurements, Recurring [Member] |
Level 3 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Commodity Derivatives, Assets
0 
0 
Commodity Derivatives, Liabilities
0 
0 
Foreign Exchange Contract [Member] |
Fair Value, Measurements, Recurring [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Foreign Currency Contract, Asset, Fair Value Disclosure
0 
2 
Derivative Asset, Fair Value, Gross Liability and Obligation to Return Cash, Offset
0 
(1)
Derivative Liability, Fair Value, Gross Asset and Right to Reclaim Cash, Offset
0 
0 
Foreign Exchange Forward Contracts, Liabilities
2 
1 
Foreign Exchange Contract [Member] |
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Foreign Currency Contract, Asset, Fair Value Disclosure
0 
0 
Foreign Exchange Forward Contracts, Liabilities
0 
0 
Foreign Exchange Contract [Member] |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Foreign Currency Contract, Asset, Fair Value Disclosure
0 
3 
Foreign Exchange Forward Contracts, Liabilities
2 
1 
Foreign Exchange Contract [Member] |
Fair Value, Measurements, Recurring [Member] |
Level 3 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Foreign Currency Contract, Asset, Fair Value Disclosure
0 
0 
Foreign Exchange Forward Contracts, Liabilities
$ 0 
$ 0 
Fair Value Measurements (Schedule Of Debt Securities Measured At Fair Value On A Recurring Basis, Unobservable Input Reconciliation) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
 
 
Balance at beginning of year
$ 65 
$ 86 
Total realized and unrealized gains (losses), Included in earnings
0 
1 
Total realized and unrealized gains (losses), Included in other comprehensive income (loss)
0 
0 
Purchases
25 
19 
Issuances
0 
0 
Settlements
(23)
(41)
Balance at end of year
67 
65 
Total gains (losses) for the periods included in earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at end of year
$ 0 
$ 0 
Fair Value Measurements (Schedule Of Available For Sale Securities) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
U.S. Treasury and Agency [Member]
Sep. 28, 2013
U.S. Treasury and Agency [Member]
Sep. 27, 2014
Corporate And Asset-Backed [Member]
Sep. 28, 2013
Corporate And Asset-Backed [Member]
Sep. 27, 2014
Common Stock and Warrants [Member]
Sep. 28, 2013
Common Stock and Warrants [Member]
Sep. 27, 2014
Maximum [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
 
 
 
Cumulative Other-than-Temporary Impairment Loss
 
 
 
 
$ 2 
 
 
Short Term Investment Maturity Period
 
 
 
 
 
 
12 months 
Available-For-Sale Securities Debt Maturity Period
 
 
 
 
 
 
35 years 
Amortized Cost Basis
25 
25 
65 
64 
1 
9 
 
Fair Value
25 
25 
67 
65 
1 
4 
 
Unrealized Gain/(Loss)
$ 0 
$ 0 
$ 2 
$ 1 
$ 0 
$ (5)
 
Fair Value Measurements (Schedule Of Fair Value And Carrying Value Of Debt) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Fair Value Disclosures [Abstract]
 
 
Debt Instrument, Fair Value Disclosure
$ 8,347 
$ 2,541 
Total Debt, Carrying Value
$ 8,178 
$ 2,408 
Fair Value Measurements Fair Value Measurements (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended 3 Months Ended 12 Months Ended 3 Months Ended 12 Months Ended
Sep. 27, 2014
Accounts Receivable [Member]
Customer Concentration Risk [Member]
Wal-Mart Stores, Inc. [Member]
Sep. 28, 2013
Accounts Receivable [Member]
Customer Concentration Risk [Member]
Wal-Mart Stores, Inc. [Member]
Sep. 27, 2014
Chicken Production Operations in Brazil [Member]
International [Member]
Sep. 27, 2014
Chicken Production Operations in Brazil [Member]
Fair Value, Measurements, Nonrecurring [Member]
International [Member]
Jun. 28, 2014
Facility Closing [Member]
Prepared Foods [Member]
Jun. 28, 2014
Facility Closing [Member]
Operating Segments [Member]
Prepared Foods [Member]
Facilities
Sep. 27, 2014
Facility Closing [Member]
Operating Segments [Member]
Prepared Foods [Member]
Facilities
Sep. 27, 2014
Facility Closing [Member]
Operating Segments [Member]
Fair Value, Measurements, Nonrecurring [Member]
Prepared Foods [Member]
Sep. 27, 2014
Common Stock and Warrants [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
 
 
 
 
 
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities
 
 
 
 
 
 
 
 
$ 6 
Asset Impairment Charges
 
 
39 
39 
49 
 
52 
52 
 
Plants Closed
 
 
 
 
 
3 
3 
 
 
Assets Held-for-sale, Long Lived, Fair Value Disclosure
 
 
$ 144 
 
 
 
 
 
 
Concentration, Percentage
18.60% 
17.50% 
 
 
 
 
 
 
 
Stock-Based Compensation (Summary Of Stock Options) (Details) (USD $)
In Millions, except Share data, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
 
Shares Under Option - Outstanding, September 28, 2013
13,912,168 
Shares Under Option - Exercised
(4,168,070)
Shares Under Option - Canceled
(270,989)
Shares Under Option - Granted
4,251,300 
Shares Under Option - Outstanding, September 27, 2014
13,724,409 
Weighted Average Exercise Price Per Share - Outstanding, September 28, 2013
$ 16.59 
Weighted Average Exercise Price Per Share - Exercised
$ 16.13 
Weighted Average Exercise Price Per Share - Canceled
$ 23.79 
Weighted Average Exercise Price Per Share - Granted
$ 31.82 
Weighted Average Exercise Price Per Share - Outstanding, September 27, 2014
$ 21.30 
Weighted Average Remaining Contractual Life (in Years) - Outstanding, September 27, 2014
7 years 
Aggregate Intrinsic Value - Outstanding, September 27, 2014
$ 226 
Shares Under Option - Exercisable, September 27, 2014
6,866,204 
Weighted Average Exercise Price Per Share - Exercisable at September 27, 2014
$ 16.35 
Weighted Average Remaining Contractual Life (in Years) - Exercisable, September 27, 2014
5 years 3 months 
Aggregate Intrinsic Value - Exercisable, September 27, 2014
$ 147 
Stock-Based Compensation (Assumption Of Fair Value Calculation Of Each Year's Grants) (Details)
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
 
 
 
Expected life (in years)
6 years 
6 years 2 months 
6 years 8 months 
Risk-free interest rate
1.30% 
0.70% 
0.90% 
Expected volatility
36.00% 
36.80% 
36.60% 
Expected dividend yield
1.00% 
1.00% 
1.00% 
Stock-Based Compensation (Summary Of Restricted Stock) (Details) (Restricted Stock [Member], USD $)
In Millions, except Share data, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Restricted Stock [Member]
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward]
 
 
 
Number of Shares - Nonvested, September 28, 2013
1,138,699 
 
 
Number of Shares - Granted
423,453 
 
 
Number of Shares - Dividends
9,225 
 
 
Number of Shares - Vested
(584,360)
(1,400,000)
(1,200,000)
Number of Shares - Forfeited
(48,073)
 
 
Number of Shares - Nonvested, September 27, 2014
938,944 
1,138,699 
 
Weighted Average Grant Date Fair Value Per Share - Nonvested, September 28, 2013
$ 16.86 
 
 
Weighted Average Grant-Date Fair Value Per Share - Granted
$ 31.98 
 
 
Weighted Average Grant-Date Fair Value Per Share - Dividends
$ 37.14 
 
 
Weighted Average Grant-Date Fair Value Per Share - Vested
$ 17.66 
 
 
Weighted Average Grant-Date Fair Value Per Share - Forfeited
$ 20.83 
 
 
Weighted Average Grant Date Fair Value Per Share - Nonvested, September 27, 2014
$ 23.18 
$ 16.86 
 
Weighted Average Remaining Contractual Life (in Years), Nonvested, September 27, 2014
1 year 2 months 
 
 
Aggregate Intrinsic Value, Nonvested, September 27, 2014
$ 35 
 
 
Stock-Based Compensation (Summary of Performance-Based Shares) (Details) (Performance Shares [Member], USD $)
12 Months Ended
Sep. 27, 2014
Performance Shares [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward]
 
Number of Shares - Nonvested, September 28, 2013
1,001,310 
Number of Shares - Granted
585,418 
Number of Shares - Vested
(42,282)
Number of Shares - Forfeited
(140,843)
Number of Shares - Nonvested, September 27, 2014
1,403,603 
Weighted Average Grant Date Fair Value Per Share - Nonvested, September 28, 2013
$ 20.99 
Weighted Average Grant-Date Fair Value Per Share - Granted
$ 35.66 
Weighted Average Grant-Date Fair Value Per Share - Vested
$ 16.26 
Weighted Average Grant-Date Fair Value Per Share - Forfeited
$ 23.68 
Weighted Average Grant Date Fair Value Per Share - Nonvested, September 27, 2014
$ 26.77 
Weighted Average Remaining Contractual Life (in Years), Nonvested, September 27, 2014
1 year 6 months 
Stock-Based Compensation (Narrative) (Details) (USD $)
In Millions, except Share data, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
Shares available for future grant
30,428,186 
 
 
Stock Options [Member]
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
Vesting period
3 years 
 
 
Expiration period
10 years 
 
 
Grant-date fair value of options granted
$ 10.83 
$ 6.44 
$ 6.99 
Stock-based compensation expense, net of income taxes
$ 20.0 
$ 14.0 
$ 15.0 
Related tax benefit
13.0 
9.0 
10.0 
Options vested (in shares)
4,800,000 
3,900,000 
3,400,000 
Grant date fair value of options vested
30 
22 
17 
Cash received from exercise of stock options
67 
123 
34 
Tax benefit related to stock options exercised
33 
35 
7 
Total intrinsic value of options exercised
87 
90 
21 
Amount realized, related to excess tax deductions
24 
18 
3 
Total unrecognized compensation cost related to stock option plans
35 
 
 
Total unrecognized compensation cost, time frame for recognition, weighted average number of years
1 year 5 months 
 
 
Restricted Stock [Member]
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
Stock-based compensation expense, net of income taxes
6.0 
5.0 
7.0 
Related tax benefit
4.0 
3.0 
4.0 
Total unrecognized compensation cost related to share-based awards other than options
10 
 
 
Total unrecognized compensation cost, time frame for recognition, weighted average number of years
1 year 2 months 
 
 
Number of Shares - Vested
(584,360)
(1,400,000)
(1,200,000)
Restricted stock awards, grant date fair value of shares vested
11 
20 
17 
Performance Shares [Member]
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
Vesting period
3 years 
 
 
Stock-based compensation expense, net of income taxes
3.8 
2.4 
0.2 
Related tax benefit
2.5 
1.5 
0.1 
Total unrecognized compensation cost related to share-based awards other than options
$ 9 
 
 
Total unrecognized compensation cost, time frame for recognition, weighted average number of years
1 year 6 months 
 
 
Number of Shares - Vested
(42,282)
 
 
Performance Shares [Member] |
Minimum [Member]
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
Vesting rights, performance criteria
0.00% 
 
 
Performance Shares [Member] |
Maximum [Member]
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
Vesting rights, performance criteria
200.00% 
 
 
Pensions And Other Postretirement Benefits (Reconciliation Of Changes In Plans' Benefit Obligations, Assets And Funded Status) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward]
 
 
 
Beginning balance
$ 85 
 
 
Employer contributions
9 
8 
8 
Ending balance
1,650 
85 
 
Funded Qualified Pension Plan [Member]
 
 
 
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward]
 
 
 
Benefit obligation at beginning of year
86 
101 
 
Service cost
1 
0 
0 
Interest cost
10 
4 
4 
Plan participants' contributions
0 
0 
 
Actuarial (gain) loss
(37)
(9)
 
Benefits paid
(11)
(10)
 
Business acquisition
1,800 
0 
 
Benefit obligation at end of year
1,849 
86 
101 
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward]
 
 
 
Beginning balance
85 
86 
 
Actual return on plan assets
(36)
3 
 
Employer contributions
6 
6 
 
Plan participants' contributions
0 
0 
 
Benefits paid
(11)
(10)
 
Business acquisition
1,603 
0 
 
Ending balance
1,647 
85 
86 
Funded status
(202)
(1)
 
Unfunded Non-Qualified Pension Plan [Member]
 
 
 
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward]
 
 
 
Benefit obligation at beginning of year
85 
81 
 
Service cost
7 
5 
5 
Interest cost
5 
3 
3 
Plan participants' contributions
0 
0 
 
Actuarial (gain) loss
15 
(2)
 
Benefits paid
(3)
(2)
 
Business acquisition
73 
0 
 
Benefit obligation at end of year
182 
85 
81 
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward]
 
 
 
Beginning balance
0 
0 
 
Actual return on plan assets
0 
0 
 
Employer contributions
3 
2 
 
Plan participants' contributions
0 
0 
 
Benefits paid
(3)
(2)
 
Business acquisition
3 
0 
 
Ending balance
3 
0 
0 
Funded status
(179)
(85)
 
Other Postretirement Benefits [Member]
 
 
 
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward]
 
 
 
Benefit obligation at beginning of year
71 
64 
 
Service cost
2 
2 
1 
Interest cost
3 
2 
2 
Plan participants' contributions
1 
1 
 
Actuarial (gain) loss
(8)
7 
 
Benefits paid
(6)
(5)
 
Business acquisition
100 
0 
 
Benefit obligation at end of year
163 
71 
64 
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward]
 
 
 
Beginning balance
0 
0 
 
Actual return on plan assets
0 
0 
 
Employer contributions
5 
4 
 
Plan participants' contributions
1 
1 
 
Benefits paid
(6)
(5)
 
Business acquisition
0 
0 
 
Ending balance
0 
0 
0 
Funded status
$ (163)
$ (71)
 
Pensions And Other Postretirement Benefits (Amounts Recognized In The Consolidated Balance Sheets) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Funded Qualified Pension Plan [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Other current liabilities
$ 0 
$ 0 
Other liabilities
(202)
(1)
Accumulated other comprehensive (income)/loss, Actuarial loss
39 
30 
Accumulated other comprehensive (income)/loss, Prior service (cost)/credit
0 
0 
Net amount recognized
(163)
29 
Unfunded Non-Qualified Pension Plan [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Other current liabilities
(5)
0 
Other liabilities
(174)
(85)
Accumulated other comprehensive (income)/loss, Actuarial loss
36 
23 
Accumulated other comprehensive (income)/loss, Prior service (cost)/credit
0 
0 
Net amount recognized
(143)
(62)
Other Postretirement Benefits [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Other current liabilities
(7)
0 
Other liabilities
(156)
(71)
Accumulated other comprehensive (income)/loss, Actuarial loss
0 
0 
Accumulated other comprehensive (income)/loss, Prior service (cost)/credit
(2)
(3)
Net amount recognized
$ (165)
$ (74)
Pensions And Other Postretirement Benefits (Plans With Accumulated Benefit Obligations In Excess Of Plan Assets) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Funded Qualified Pension Plan [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Projected benefit obligation
$ 1,829 
$ 27 
Accumulated benefit obligation
1,829 
27 
Fair value of plan assets
1,627 
26 
Unfunded Non-Qualified Pension Plan [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Projected benefit obligation
182 
85 
Accumulated benefit obligation
172 
72 
Fair value of plan assets
$ 3 
$ 0 
Pensions And Other Postretirement Benefits (Components Of Net Periodic Benefit Cost For Pension And Postretirement Benefit Plans Recognized In The Consolidated Statements Of Income) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Funded Qualified Pension Plan [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Service cost
$ 1 
$ 0 
$ 0 
Interest cost
10 
4 
4 
Expected return on plan assets
(13)
(5)
(6)
Amortization of prior service cost
0 
0 
0 
Recognized actuarial loss, net
2 
4 
3 
Net periodic benefit cost
0 
3 
1 
Unfunded Non-Qualified Pension Plan [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Service cost
7 
5 
5 
Interest cost
5 
3 
3 
Expected return on plan assets
0 
0 
0 
Amortization of prior service cost
0 
1 
1 
Recognized actuarial loss, net
2 
3 
1 
Net periodic benefit cost
14 
12 
10 
Other Postretirement Benefits [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Service cost
2 
2 
1 
Interest cost
3 
2 
2 
Expected return on plan assets
0 
0 
0 
Amortization of prior service cost
0 
(1)
(1)
Recognized actuarial loss, net
(8)
7 
24 
Net periodic benefit cost
$ (3)
$ 10 
$ 26 
Pensions And Other Postretirement Benefits (Weighted Average Assumptions) (Details)
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Funded Qualified Pension Plan [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Discount rate to determine net periodic benefit cost
4.37% 
4.02% 
4.53% 
Discount rate to determine benefit obligations
4.32% 
4.77% 
4.02% 
Rate of compensation increase
0.01% 
 
 
Expected return on plan assets
6.37% 
5.44% 
6.37% 
Unfunded Non-Qualified Pension Plan [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Discount rate to determine net periodic benefit cost
5.01% 
4.23% 
4.75% 
Discount rate to determine benefit obligations
4.36% 
5.09% 
4.23% 
Rate of compensation increase
2.11% 
3.50% 
3.50% 
Other Postretirement Benefits [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Discount rate to determine net periodic benefit cost
4.41% 
3.66% 
4.09% 
Discount rate to determine benefit obligations
3.97% 
4.48% 
3.66% 
Pensions And Other Postretirement Benefits (Health Care Cost Trend Rates) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Compensation and Retirement Disclosure [Abstract]
 
One Percentage Point Increase, Effect on postretirement benefit obligation
$ 17 
One Percentage Point Decrease, Effect on postretirement benefit obligation
13 
One Percentage Point Increase, Effect on total service and interest components
2 
One Percentage Point Decrease, Effect on total service and interest components
$ 1 
Pensions And Other Postretirement Benefits (Actual And Target Asset Allocation For Pension Plan Assets) (Details)
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Defined Benefit Plan Disclosure [Line Items]
 
 
Actual Plan Asset Allocations
100.00% 
100.00% 
Target Plan Asset Allocations
100.00% 
 
Cash and Cash Equivalents [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Actual Plan Asset Allocations
4.90% 
1.60% 
Target Plan Asset Allocations
0.30% 
 
Fixed Income Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Actual Plan Asset Allocations
80.50% 
79.10% 
Target Plan Asset Allocations
84.90% 
 
Equity Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Actual Plan Asset Allocations
12.00% 
 
Real Estate [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Actual Plan Asset Allocations
2.00% 
3.80% 
Target Plan Asset Allocations
2.00% 
 
Other [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Actual Plan Asset Allocations
0.40% 
3.90% 
Target Plan Asset Allocations
1.10% 
 
U.S. Stock Funds [Member] |
Equity Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Actual Plan Asset Allocations
6.00% 
4.30% 
Target Plan Asset Allocations
5.40% 
 
International Stock Funds [Member] |
Equity Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Actual Plan Asset Allocations
6.20% 
7.30% 
Target Plan Asset Allocations
6.30% 
 
Pensions And Other Postretirement Benefits (Categories Of Pension Plan Assets And Level Under Which Fair Values Were Determined In Fair Value Hierarchy) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
$ 1,650 
$ 85 
Cash and Cash Equivalents [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
79 
1 
Total Fixed Income Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
1,317 
56 
Bond and Fixed Income Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
377 
56 
Corporate Bonds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
680 
0 
Government and Municipal Bonds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
253 
0 
Mortgage Backed Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
7 
0 
Total Equity Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
232 
11 
US Securities Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
84 
3 
Non-US Securities Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
101 
5 
Commodity Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
14 
0 
Global Real Estate Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
33 
3 
Other [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
7 
3 
Insurance Contract At Contract Value [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
15 
14 
Level 1 [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
79 
1 
Level 1 [Member] |
Cash and Cash Equivalents [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
79 
1 
Level 1 [Member] |
Total Fixed Income Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
Bond and Fixed Income Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
Corporate Bonds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
Government and Municipal Bonds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
Mortgage Backed Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
Total Equity Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
US Securities Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
Non-US Securities Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
Commodity Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
Global Real Estate Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
Other [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 1 [Member] |
Insurance Contract At Contract Value [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 2 [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
1,549 
67 
Level 2 [Member] |
Cash and Cash Equivalents [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 2 [Member] |
Total Fixed Income Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
1,310 
56 
Level 2 [Member] |
Bond and Fixed Income Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
377 
56 
Level 2 [Member] |
Corporate Bonds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
680 
0 
Level 2 [Member] |
Government and Municipal Bonds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
253 
0 
Level 2 [Member] |
Mortgage Backed Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 2 [Member] |
Total Equity Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
232 
11 
Level 2 [Member] |
US Securities Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
84 
3 
Level 2 [Member] |
Non-US Securities Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
101 
5 
Level 2 [Member] |
Commodity Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
14 
0 
Level 2 [Member] |
Global Real Estate Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
33 
3 
Level 2 [Member] |
Other [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
7 
0 
Level 2 [Member] |
Insurance Contract At Contract Value [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 3 [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
22 
17 
Level 3 [Member] |
Cash and Cash Equivalents [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 3 [Member] |
Total Fixed Income Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
7 
0 
Level 3 [Member] |
Bond and Fixed Income Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 3 [Member] |
Corporate Bonds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 3 [Member] |
Government and Municipal Bonds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 3 [Member] |
Mortgage Backed Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
7 
0 
Level 3 [Member] |
Total Equity Securities [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 3 [Member] |
US Securities Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 3 [Member] |
Non-US Securities Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 3 [Member] |
Commodity Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 3 [Member] |
Global Real Estate Funds [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
0 
Level 3 [Member] |
Other [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
0 
3 
Level 3 [Member] |
Insurance Contract At Contract Value [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined benefit pension plan assets
$ 15 
$ 14 
Pensions And Other Postretirement Benefits (Reconciliation Of Change In Fair Value Measurement Of Defined Benefit Plans' Consolidated Assets Using Significant Unobservable Inputs) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 27, 2014
Mortgage Backed Securities [Member]
Sep. 28, 2013
Mortgage Backed Securities [Member]
Sep. 27, 2014
Other [Member]
Sep. 28, 2013
Other [Member]
Sep. 27, 2014
Insurance Contract [Member]
Sep. 28, 2013
Insurance Contract [Member]
Sep. 27, 2014
Level 3 [Member]
Sep. 27, 2014
Level 3 [Member]
Mortgage Backed Securities [Member]
Sep. 27, 2014
Level 3 [Member]
Other [Member]
Sep. 27, 2014
Level 3 [Member]
Insurance Contract [Member]
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward]
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$ 1,650 
$ 85 
$ 7 
$ 0 
$ 7 
$ 3 
$ 15 
$ 14 
$ 17 
$ 0 
$ 3 
$ 14 
Assets still held at reporting date
 
 
 
 
 
 
 
 
0 
0 
0 
0 
Assets sold during the period
 
 
 
 
 
 
 
 
0 
0 
0 
0 
Purchases, sales and settlements, net
 
 
 
 
 
 
 
 
1 
0 
0 
1 
Transfers in and/or out of Level 3
 
 
 
 
 
 
 
 
4 
7 
(3)
0 
Ending balance
$ 1,650 
$ 85 
$ 7 
$ 0 
$ 7 
$ 3 
$ 15 
$ 14 
$ 22 
$ 7 
$ 0 
$ 15 
Pensions And Other Postretirement Benefits (Estimated Future Benefit Payments Expected To Be Paid) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Funded Qualified Pension Plan [Member]
 
Defined Benefit Plan Disclosure [Line Items]
 
2015
$ 108 
2016
82 
2017
85 
2018
89 
2019
92 
2020-2024
506 
Unfunded Non-Qualified Pension Plan [Member]
 
Defined Benefit Plan Disclosure [Line Items]
 
2015
8 
2016
9 
2017
9 
2018
9 
2019
10 
2020-2024
54 
Other Postretirement Benefits [Member]
 
Defined Benefit Plan Disclosure [Line Items]
 
2015
12 
2016
12 
2017
12 
2018
12 
2019
12 
2020-2024
$ 64 
Pensions And Other Postretirement Benefits (Multiemployer Plans) (Details) (Multiemployer Plans, Pension [Member], Bakery and Confectionary Union & Industry International Pension Fund [Member], USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Multiemployer Plans, Pension [Member] |
Bakery and Confectionary Union & Industry International Pension Fund [Member]
 
Multiemployer Plans [Line Items]
 
Multiemployer plan, contributions (less than)
$ 1 
Surcharge Imposed
10.00% 
Pensions And Other Postretirement Benefits (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
plan
Sep. 28, 2013
Sep. 29, 2012
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Number of defined benefit plans
9 
 
 
Defined contribution retirement programs, expenses recognized
$ 53 
$ 50 
$ 47 
Number of defined benefit plans with accumulated benefit obligations in excess of plan assets
7 
 
 
Postretirement medical obligation consisting of fixed annual payments
22 
 
 
Postretirement medical obligation consisting of payments determined by healthcare cost trend
141 
 
 
Healthcare cost trend rate, assumed, retirees who do not yet qualify for Medicare
7.30% 
 
 
Healthcare cost trend rate, assumed, retirees who do qualify for Medicare
6.50% 
 
 
Healthcare cost trend rate, ultimate rate
5.00% 
 
 
Defined benefit pension plan assets
1,650 
85 
 
Expected contributions to pension plans for fiscal 2014
14 
 
 
Defined benefit plans funding
9 
8 
8 
Plan asset allocations
100.00% 
100.00% 
 
Multiemployer Plans, Pension [Member] |
Bakery and Confectionary Union & Industry International Pension Fund [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Multiemployer plan, contributions (less than)
1 
 
 
Multiemployer Plans, Pension [Member] |
Bakery and Confectionary Union & Industry International Pension Fund [Member] |
Pension and Other Postretirement Plans, Contributions, Total [Member] |
Multiemployer Plans Concentration Risk [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Concentration, Percentage (less than)
5.00% 
 
 
Funded Qualified Pension Plan [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Number of defined benefit plans
6 
 
 
Accumulated benefit obligation
1,849 
86 
 
Amounts expected to be reclassified to earnings within next 12 months
2 
 
 
Defined benefit pension plan assets
1,647 
85 
86 
Defined benefit plans funding
6 
6 
 
Funded Qualified Pension Plan, Frozen and Noncontributory [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Number of defined benefit plans
5 
 
 
Unfunded Non-Qualified Pension Plan [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Number of defined benefit plans
3 
 
 
Amounts expected to be reclassified to earnings within next 12 months
4 
 
 
Defined benefit pension plan assets
3 
0 
0 
Defined benefit plans funding
3 
2 
 
Postretirement Health Coverage [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Number of defined benefit plans
6 
 
 
Postretirement Health Coverage, Fixed Annual Payments [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Number of defined benefit plans
2 
 
 
Foreign Subsidiary Pension Benefit Plans [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Defined benefit pension plan assets
$ 15 
$ 14 
 
Fixed Income Funds [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Plan asset allocations
80.50% 
79.10% 
 
Equity Funds [Member]
 
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
 
Plan asset allocations
12.00% 
 
 
Comprehensive Income (Loss) (Components Of Accumulated Other Comprehensive Income (Loss)) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
 
 
Unrealized net hedging gain (loss)
$ (3)
$ (4)
Unrealized net gain (loss) on investments
2 
(2)
Currency translation adjustment
(99)
(69)
Postretirement benefits reserve adjustments
(47)
(33)
Total accumulated other comprehensive loss
$ (147)
$ (108)
Comprehensive Income (Loss) (Components Of Other Comprehensive Income (Loss)) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Other Comprehensive Income Loss [Line Items]
 
 
 
Other comprehensive income (loss), Before Tax
$ (47)
$ (51)
$ 24 
Other comprehensive income (loss), Income Tax
8 
6 
(8)
Total Other Comprehensive Income (Loss), Net of Taxes
(39)
(45)
16 
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member]
 
 
 
Other Comprehensive Income Loss [Line Items]
 
 
 
Other Comprehensive Income (Loss), before Reclassifications, before Tax
(8)
(31)
16 
Other Comprehensive Income (Loss), before Reclassifications, Tax
3 
12 
(6)
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax
(5)
(19)
10 
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] |
Cost of Sales [Member]
 
 
 
Other Comprehensive Income Loss [Line Items]
 
 
 
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax
10 
5 
16 
Reclassification from Accumulated Other Comprehensive Income, Tax
(4)
(2)
(7)
Reclassification from Accumulated Other Comprehensive Income, Net of Tax
6 
3 
9 
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] |
Other Nonoperating Income (Expense) [Member]
 
 
 
Other Comprehensive Income Loss [Line Items]
 
 
 
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax
0 
4 
(4)
Reclassification from Accumulated Other Comprehensive Income, Tax
0 
(2)
2 
Reclassification from Accumulated Other Comprehensive Income, Net of Tax
0 
2 
(2)
Investments [Member]
 
 
 
Other Comprehensive Income Loss [Line Items]
 
 
 
Other Comprehensive Income (Loss), before Reclassifications, before Tax
(2)
(4)
0 
Other Comprehensive Income (Loss), before Reclassifications, Tax
0 
2 
0 
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax
(2)
(2)
0 
Investments [Member] |
Other Nonoperating Income (Expense) [Member]
 
 
 
Other Comprehensive Income Loss [Line Items]
 
 
 
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax
8 
(1)
0 
Reclassification from Accumulated Other Comprehensive Income, Tax
(2)
0 
0 
Reclassification from Accumulated Other Comprehensive Income, Net of Tax
6 
(1)
0 
Currency Translation [Member]
 
 
 
Other Comprehensive Income Loss [Line Items]
 
 
 
Other Comprehensive Income (Loss), before Reclassifications, before Tax
(32)
(20)
2 
Other Comprehensive Income (Loss), before Reclassifications, Tax
2 
3 
1 
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax
(30)
(17)
3 
Currency Translation [Member] |
Other Nonoperating Income (Expense) [Member]
 
 
 
Other Comprehensive Income Loss [Line Items]
 
 
 
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax
0 
(19)
0 
Reclassification from Accumulated Other Comprehensive Income, Tax
0 
(1)
0 
Reclassification from Accumulated Other Comprehensive Income, Net of Tax
0 
(20)
0 
Accumulated Defined Benefit Plans Adjustment [Member]
 
 
 
Other Comprehensive Income Loss [Line Items]
 
 
 
Other comprehensive income (loss), Before Tax
(23)
15 
(6)
Other comprehensive income (loss), Income Tax
9 
(6)
2 
Total Other Comprehensive Income (Loss), Net of Taxes
$ (14)
$ 9 
$ (4)
Segment Reporting (Segment Reporting Information, By Segment) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Sep. 27, 2014
Jun. 28, 2014
Mar. 29, 2014
Dec. 28, 2013
Sep. 28, 2013
Jun. 29, 2013
Mar. 30, 2013
Dec. 29, 2012
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
$ 10,105 
$ 9,682 
$ 9,032 
$ 8,761 
$ 8,894 
$ 8,731 
$ 8,383 
$ 8,366 
$ 37,580 
$ 34,374 
$ 33,055 
Operating Income (Loss)
306 
351 
361 
412 
416 
419 
236 
304 
1,430 
1,375 
1,286 
Total Other (Income) Expense
 
 
 
 
 
 
 
 
178 
118 
321 
Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
1,252 
1,257 
965 
Depreciation
 
 
 
 
 
 
 
 
494 
474 
443 
Total Assets
23,956 
 
 
 
12,177 
 
 
 
23,956 
12,177 
11,896 
Additions to property, plant and equipment
 
 
 
 
 
 
 
 
632 
558 
690 
Operating Segments [Member] |
Chicken [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
11,116 
10,988 
10,270 
Operating Income (Loss)
 
 
 
 
 
 
 
 
883 
683 
554 
Depreciation
 
 
 
 
 
 
 
 
251 
251 
228 
Total Assets
4,807 
 
 
 
4,944 
 
 
 
4,807 
4,944 
4,934 
Additions to property, plant and equipment
 
 
 
 
 
 
 
 
307 
253 
354 
Operating Segments [Member] |
Beef [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
16,177 
14,400 
13,755 
Operating Income (Loss)
 
 
 
 
 
 
 
 
347 
296 
218 
Depreciation
 
 
 
 
 
 
 
 
87 
87 
86 
Total Assets
3,103 
 
 
 
2,798 
 
 
 
3,103 
2,798 
2,634 
Additions to property, plant and equipment
 
 
 
 
 
 
 
 
115 
105 
100 
Operating Segments [Member] |
Pork [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
6,304 
5,408 
5,510 
Operating Income (Loss)
 
 
 
 
 
 
 
 
455 
332 
417 
Depreciation
 
 
 
 
 
 
 
 
32 
30 
30 
Total Assets
965 
 
 
 
931 
 
 
 
965 
931 
895 
Additions to property, plant and equipment
 
 
 
 
 
 
 
 
36 
22 
32 
Operating Segments [Member] |
Prepared Foods [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
3,927 
3,322 
3,237 
Operating Income (Loss)
 
 
 
 
 
 
 
 
(60)
101 
181 
Depreciation
 
 
 
 
 
 
 
 
78 
61 
54 
Total Assets
8,608 
 
 
 
1,176 
 
 
 
8,608 
1,176 
960 
Additions to property, plant and equipment
 
 
 
 
 
 
 
 
77 
87 
99 
Operating Segments [Member] |
International [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
1,381 
1,324 
1,104 
Operating Income (Loss)
 
 
 
 
 
 
 
 
(121)
(37)
(70)
Depreciation
 
 
 
 
 
 
 
 
40 
40 
40 
Total Assets
871 
 
 
 
876 
 
 
 
871 
876 
968 
Additions to property, plant and equipment
 
 
 
 
 
 
 
 
46 
58 
97 
Segment Reconciling Items [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
0 
46 
167 
Operating Income (Loss)
 
 
 
 
 
 
 
 
(74)
0 
(14)
Depreciation
 
 
 
 
 
 
 
 
6 
5 
5 
Total Assets
5,602 
 
 
 
1,452 
 
 
 
5,602 
1,452 
1,505 
Additions to property, plant and equipment
 
 
 
 
 
 
 
 
51 
33 
8 
Intersegment Elimination [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
(1,325)
(1,114)
(988)
Intersegment Elimination [Member] |
Chicken [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
7 
16 
6 
Intersegment Elimination [Member] |
Beef [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
307 
226 
211 
Intersegment Elimination [Member] |
Pork [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
$ 1,000 
$ 872 
$ 771 
Segment Reporting (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended 12 Months Ended 12 Months Ended 12 Months Ended
Sep. 27, 2014
Jun. 28, 2014
Mar. 29, 2014
Dec. 28, 2013
Sep. 28, 2013
Jun. 29, 2013
Mar. 30, 2013
Dec. 29, 2012
Sep. 27, 2014
Segments
Sep. 28, 2013
Sep. 29, 2012
Sep. 27, 2014
Prepared Foods [Member]
Sep. 28, 2013
Prepared Foods [Member]
Sep. 29, 2012
Prepared Foods [Member]
Sep. 27, 2014
International [Member]
Sep. 28, 2013
International [Member]
Sep. 29, 2012
International [Member]
Sep. 27, 2014
Chicken [Member]
Sep. 28, 2013
Chicken [Member]
Sep. 29, 2012
Chicken [Member]
Sep. 27, 2014
Beef [Member]
Sep. 28, 2013
Beef [Member]
Sep. 29, 2012
Beef [Member]
Sep. 27, 2014
Pork [Member]
Sep. 28, 2013
Pork [Member]
Sep. 29, 2012
Pork [Member]
Sep. 27, 2014
UNITED STATES
Sep. 28, 2013
UNITED STATES
Sep. 27, 2014
Other than the United States [Member]
Sep. 28, 2013
Other than the United States [Member]
Sep. 27, 2014
Customer Concentration Risk [Member]
Sales Revenue, Goods, Net [Member]
Wal-Mart Stores, Inc. [Member]
Sep. 28, 2013
Customer Concentration Risk [Member]
Sales Revenue, Goods, Net [Member]
Wal-Mart Stores, Inc. [Member]
Sep. 29, 2012
Customer Concentration Risk [Member]
Sales Revenue, Goods, Net [Member]
Wal-Mart Stores, Inc. [Member]
Sep. 27, 2014
Geographic Concentration Risk [Member]
Sales Revenue, Goods, Net [Member]
UNITED STATES
Sep. 28, 2013
Geographic Concentration Risk [Member]
Sales Revenue, Goods, Net [Member]
UNITED STATES
Sep. 29, 2012
Geographic Concentration Risk [Member]
Sales Revenue, Goods, Net [Member]
UNITED STATES
Sep. 27, 2014
Export sales [Member]
UNITED STATES
Sep. 28, 2013
Export sales [Member]
UNITED STATES
Sep. 29, 2012
Export sales [Member]
UNITED STATES
Sep. 27, 2014
Intersegment Sales [Member]
Sep. 28, 2013
Intersegment Sales [Member]
Sep. 29, 2012
Intersegment Sales [Member]
Sep. 27, 2014
Intersegment Sales [Member]
Chicken [Member]
Sep. 28, 2013
Intersegment Sales [Member]
Chicken [Member]
Sep. 29, 2012
Intersegment Sales [Member]
Chicken [Member]
Sep. 27, 2014
Intersegment Sales [Member]
Beef [Member]
Sep. 28, 2013
Intersegment Sales [Member]
Beef [Member]
Sep. 29, 2012
Intersegment Sales [Member]
Beef [Member]
Sep. 27, 2014
Intersegment Sales [Member]
Pork [Member]
Sep. 28, 2013
Intersegment Sales [Member]
Pork [Member]
Sep. 29, 2012
Intersegment Sales [Member]
Pork [Member]
Sep. 27, 2014
Maximum [Member]
Geographic Concentration Risk [Member]
Sales Revenue, Goods, Net [Member]
Other than the United States [Member]
Sep. 28, 2013
Maximum [Member]
Geographic Concentration Risk [Member]
Sales Revenue, Goods, Net [Member]
Other than the United States [Member]
Sep. 29, 2012
Maximum [Member]
Geographic Concentration Risk [Member]
Sales Revenue, Goods, Net [Member]
Other than the United States [Member]
Jul. 28, 2014
Chicken Production Operations in Brazil and Mexico [Member]
International [Member]
Sep. 27, 2014
Hillshire Brands Company [Member]
Aug. 28, 2014
Hillshire Brands Company [Member]
Sep. 27, 2014
Hillshire Brands Company [Member]
Prepared Foods [Member]
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of segments
 
 
 
 
 
 
 
 
5 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Business Acquisition, Period Results Included in Combined Entity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1 month 
Disposal Group, Consideration
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 575 
 
 
 
Sales
10,105 
9,682 
9,032 
8,761 
8,894 
8,731 
8,383 
8,366 
37,580 
34,374 
33,055 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
4,700 
4,200 
4,000 
(1,325)
(1,114)
(988)
7 
16 
6 
307 
226 
211 
1,000 
872 
771 
 
 
 
 
 
 
 
Concentration, Percentage
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
14.60% 
13.00% 
13.80% 
96.00% 
96.00% 
95.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
10.00% 
10.00% 
10.00% 
 
 
 
 
Long-lived assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
17,400 
6,100 
324 
485 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Business Combination, Acquisition Related Costs
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
59 
 
 
Goodwill
$ 6,706 
 
 
 
$ 1,902 
 
 
 
$ 6,706 
$ 1,902 
$ 1,891 
$ 92 
$ 75 
$ 63 
$ 23 
$ 39 
$ 39 
$ 907 
$ 908 
$ 909 
$ 563 
$ 563 
$ 563 
$ 317 
$ 317 
$ 317 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 4,800 
$ 4,804 
 
Supplemental Cash Flow Information (Cash Payments For Interest And Income Taxes) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Supplemental Cash Flow Information [Abstract]
 
 
 
Interest, net of amounts capitalized
$ 118 
$ 114 
$ 274 
Income taxes, net of refunds
$ 590 
$ 310 
$ 187 
Commitments (Minimum Lease Commitments Under Non-Cancelable Leases) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Commitments and Contingencies Disclosure [Abstract]
 
2015
$ 107 
2016
80 
2017
56 
2018
39 
2019
30 
2020 and beyond
104 
Total
$ 416 
Commitments (Future Purchase Commitments) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Commitments and Contingencies Disclosure [Abstract]
 
2015
$ 2,625 
2016
585 
2017
259 
2018
271 
2019
189 
2020 and beyond
249 
Total
$ 4,178 
Commitments (Narrative) (Details) (USD $)
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Commitments and Contingencies Disclosure [Abstract]
 
 
 
Operating Leases, Rent Expense
$ 161,000,000 
$ 200,000,000 
$ 193,000,000 
Lease, Maximum Initial Term
7 years 
 
 
Guarantor Obligations [Line Items]
 
 
 
Potential maximum obligation under cash flow assistance program
330,000,000 
 
 
Total receivables under cash flow assistance program
4,000,000 
44,000,000 
 
Estimated uncollectible receivables under cash flow assistance program
0 
15,000,000 
 
Guarantee of Indebtedness of Others [Member]
 
 
 
Guarantor Obligations [Line Items]
 
 
 
Guarantor Obligations, Maximum Exposure, Period
15 years 
 
 
Maximum potential amount
70,000,000 
 
 
Residual Value Guarantees [Member]
 
 
 
Guarantor Obligations [Line Items]
 
 
 
Maximum potential amount
54,000,000 
 
 
Guarantor Obligations, Maximum Exposure, Remaining Lease Period
13 years 
 
 
Amount recoverable through various recourse provisions
$ 48,000,000 
 
 
Contingencies (Narrative) (Details)
0 Months Ended 1 Months Ended 0 Months Ended 12 Months Ended
Sep. 27, 2014
Tyson Fresh Meats Inc [Member]
Claims
Dec. 7, 2012
Garcia Case [Member]
USD ($)
Mar. 17, 2011
Garcia Case [Member]
USD ($)
Sep. 22, 2014
Bouaphakeo Case [Member]
USD ($)
Aug. 25, 2014
Bouaphakeo Case [Member]
USD ($)
Jan. 30, 2014
Acosta Case [Member]
USD ($)
May 31, 2013
Acosta Case [Member]
USD ($)
Oct. 2, 2013
Gomez Case [Member]
USD ($)
Sep. 27, 2014
Abadeer case [Member]
USD ($)
Sep. 30, 2006
Republic of the Philippines, Department of Labor and Employment and the National Labor Relations Commission [Member]
USD ($)
Sep. 30, 2006
Republic of the Philippines, Department of Labor and Employment and the National Labor Relations Commission [Member]
PHP (?)
Jun. 23, 2014
Republic of the Philippines, Department of Labor and Employment and the National Labor Relations Commission [Member]
USD ($)
Jun. 23, 2014
Republic of the Philippines, Department of Labor and Employment and the National Labor Relations Commission [Member]
PHP (?)
Loss Contingencies [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of cases filed
9 
 
 
 
 
 
 
 
 
 
 
 
 
Loss contingency, damages awarded
 
$ 3,609,723 
$ 503,011 
 
$ 5,784,758 
$ 18,774,989 
$ 5,733,943 
$ 4,960,787 
 
$ 76,000,000 
? 3,453,664,710 
 
 
Loss contingency, damages sought
 
 
 
2,692,145 
 
 
6,258,330 
 
 
 
 
 
 
Litigation Settlement, Amount
 
 
 
 
 
 
 
 
7,750,000 
 
 
 
 
Loss contingency, range of possible loss, maximum
 
 
 
 
 
 
 
 
 
 
 
$ 7,000,000 
? 342,287,800 
Quarterly Financial Data (Unaudited) (Schedule Of Quarterly Financial Information) (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 12 Months Ended
Sep. 27, 2014
Jun. 28, 2014
Mar. 29, 2014
Dec. 28, 2013
Sep. 28, 2013
Jun. 29, 2013
Mar. 30, 2013
Dec. 29, 2012
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Sales
$ 10,105 
$ 9,682 
$ 9,032 
$ 8,761 
$ 8,894 
$ 8,731 
$ 8,383 
$ 8,366 
$ 37,580 
$ 34,374 
$ 33,055 
Gross profit
712 
637 
651 
685 
669 
682 
468 
539 
2,685 
2,358 
2,190 
Operating Income
306 
351 
361 
412 
416 
419 
236 
304 
1,430 
1,375 
1,286 
Net income
136 
258 
210 
252 
259 
245 
106 
168 
856 
778 
576 
Net Income from Continuing Operations Attributable to Tyson
137 
260 
213 
254 
261 
253 
157 
177 
864 
848 
621 
Net Loss from Discontinued Operation Attributable to Tyson
 
 
 
 
0 
(4)
(62)
(4)
0 
(70)
(38)
Net Income Attributable to Tyson
$ 137 
$ 260 
$ 213 
$ 254 
$ 261 
$ 249 
$ 95 
$ 173 
$ 864 
$ 778 
$ 583 
Net Income Per Share from Continuing Operations Attributable to Tyson - Diluted
$ 0.35 
$ 0.73 
$ 0.60 
$ 0.72 
$ 0.70 
$ 0.69 
$ 0.43 
$ 0.49 
$ 2.37 
$ 2.31 
$ 1.68 
Net Loss Per Share from Discontinued Operation Attributable to Tyson - Diluted
 
 
 
 
$ 0.00 
$ (0.01)
$ (0.17)
$ (0.01)
$ 0.00 
$ (0.19)
$ (0.10)
Diluted (USD per share)
$ 0.35 
$ 0.73 
$ 0.60 
$ 0.72 
$ 0.70 
$ 0.68 
$ 0.26 
$ 0.48 
$ 2.37 
$ 2.12 
$ 1.58 
Class A [Member]
 
 
 
 
 
 
 
 
 
 
 
Net Income Per Share from Continuing Operations Attributable to Tyson - Basic
$ 0.37 
$ 0.75 
$ 0.64 
$ 0.76 
$ 0.77 
$ 0.73 
$ 0.45 
$ 0.51 
$ 2.48 
$ 2.46 
$ 1.75 
Net Loss Per Share from Discontinued Operation Attributable to Tyson - Basic
 
 
 
 
$ 0.00 
$ (0.01)
$ (0.18)
$ (0.01)
$ 0.00 
$ (0.20)
$ (0.11)
Basic (USD per share)
$ 0.37 
$ 0.75 
$ 0.64 
$ 0.76 
$ 0.77 
$ 0.72 
$ 0.27 
$ 0.50 
$ 2.48 
$ 2.26 
$ 1.64 
Class B [Member]
 
 
 
 
 
 
 
 
 
 
 
Net Income Per Share from Continuing Operations Attributable to Tyson - Basic
$ 0.32 
$ 0.68 
$ 0.58 
$ 0.68 
$ 0.70 
$ 0.66 
$ 0.40 
$ 0.46 
$ 2.26 
$ 2.22 
$ 1.57 
Net Loss Per Share from Discontinued Operation Attributable to Tyson - Basic
 
 
 
 
$ 0.00 
$ (0.02)
$ (0.15)
$ (0.01)
$ 0.00 
$ (0.18)
$ (0.09)
Basic (USD per share)
$ 0.32 
$ 0.68 
$ 0.58 
$ 0.68 
$ 0.70 
$ 0.64 
$ 0.25 
$ 0.45 
$ 2.26 
$ 2.04 
$ 1.48 
Quarterly Financial Data (Unaudited) (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended 3 Months Ended 12 Months Ended 3 Months Ended 12 Months Ended
Sep. 27, 2014
Jun. 28, 2014
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Mar. 30, 2013
Weifang Operation [Member]
Mar. 30, 2013
Other Nonoperating Income (Expense) [Member]
Sep. 28, 2013
Other Nonoperating Income (Expense) [Member]
Jun. 28, 2014
Prepared Foods [Member]
Facility Closing [Member]
Sep. 27, 2014
International [Member]
Chicken Production Operations in Brazil and Mexico [Member]
Jun. 28, 2014
Hillshire Brands Company [Member]
Jun. 28, 2014
Operating Segments [Member]
Prepared Foods [Member]
Facility Closing [Member]
Facilities
Sep. 27, 2014
Operating Segments [Member]
Prepared Foods [Member]
Facility Closing [Member]
Facilities
Quarterly Financial Data [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
Acquisition fees paid to third parties
 
 
 
 
 
 
 
 
 
 
$ 29 
 
 
Asset Impairment Charges
 
 
 
 
 
 
 
 
49 
 
 
 
52 
Plants Closed
 
 
 
 
 
 
 
 
 
 
 
3 
3 
Tax Expense Adjustment- related to tax contingencies
12 
40 
 
 
 
 
 
 
 
 
 
 
 
Asset impairment Charges and Undistributed Earnings Tax
 
 
 
 
 
 
 
 
 
42 
 
 
 
Net Income, Adjustment Hillshire Brands acquisition, integration and cost associated with the Prepared Foods improvement plan
119 
 
 
 
 
 
 
 
 
 
 
 
 
Net Income, Adjustment Hillshire Brands post- closing results, purchases price accounting adjustments and ongoing cost related to legacy Hillshire plant fire
40 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, adjustment Hillshire Brands acquisition financing incremental interest cost
27 
 
 
 
 
 
 
 
 
 
 
 
 
Recognized currency translation adjustment gain
 
 
 
 
 
 
19 
19 
 
 
 
 
 
Asset Impairment Charges
 
 
$ 107 
$ 74 
$ 34 
$ 56 
 
 
 
 
 
 
 
Condensed Consolidating Financial Statements (Condensed Consolidating Statement Of Income) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Sep. 27, 2014
Jun. 28, 2014
Mar. 29, 2014
Dec. 28, 2013
Sep. 28, 2013
Jun. 29, 2013
Mar. 30, 2013
Dec. 29, 2012
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Condensed Financial Statements, Captions [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
$ 10,105 
$ 9,682 
$ 9,032 
$ 8,761 
$ 8,894 
$ 8,731 
$ 8,383 
$ 8,366 
$ 37,580 
$ 34,374 
$ 33,055 
Cost of Sales
 
 
 
 
 
 
 
 
34,895 
32,016 
30,865 
Gross Profit
712 
637 
651 
685 
669 
682 
468 
539 
2,685 
2,358 
2,190 
Selling, General and Administrative
 
 
 
 
 
 
 
 
1,255 
983 
904 
Operating Income
306 
351 
361 
412 
416 
419 
236 
304 
1,430 
1,375 
1,286 
Other (Income) Expense:
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
 
 
 
 
 
 
 
 
125 
138 
344 
Other, net
 
 
 
 
 
 
 
 
53 
(20)
(23)
Equity in net earnings of subsidiaries
 
 
 
 
 
 
 
 
0 
0 
0 
Total Other (Income) Expense
 
 
 
 
 
 
 
 
178 
118 
321 
Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
1,252 
1,257 
965 
Income Tax Expense
 
 
 
 
 
 
 
 
396 
409 
351 
Income from Continuing Operations
 
 
 
 
 
 
 
 
856 
848 
614 
Loss from Discontinued Operation, Net of Tax
 
 
 
 
 
 
 
 
0 
(70)
(38)
Net Income
136 
258 
210 
252 
259 
245 
106 
168 
856 
778 
576 
Income (Loss) from Continuing Operations Attributable to Noncontrolling Interest
 
 
 
 
 
 
 
 
(8)
0 
(7)
Net Income Attributable to Tyson
137 
260 
213 
254 
261 
249 
95 
173 
864 
778 
583 
Comprehensive Income (Loss)
 
 
 
 
 
 
 
 
817 
733 
592 
Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interests
 
 
 
 
 
 
 
 
(8)
0 
(7)
Comprehensive Income Attributable to Tyson
 
 
 
 
 
 
 
 
825 
733 
599 
TFI Parent [Member]
 
 
 
 
 
 
 
 
 
 
 
Condensed Financial Statements, Captions [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
579 
431 
352 
Cost of Sales
 
 
 
 
 
 
 
 
74 
40 
(4)
Gross Profit
 
 
 
 
 
 
 
 
505 
391 
356 
Selling, General and Administrative
 
 
 
 
 
 
 
 
141 
68 
59 
Operating Income
 
 
 
 
 
 
 
 
364 
323 
297 
Other (Income) Expense:
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
 
 
 
 
 
 
 
 
63 
36 
49 
Other, net
 
 
 
 
 
 
 
 
67 
4 
1 
Equity in net earnings of subsidiaries
 
 
 
 
 
 
 
 
(731)
(582)
(427)
Total Other (Income) Expense
 
 
 
 
 
 
 
 
(601)
(542)
(377)
Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
965 
865 
674 
Income Tax Expense
 
 
 
 
 
 
 
 
101 
87 
91 
Income from Continuing Operations
 
 
 
 
 
 
 
 
864 
778 
583 
Loss from Discontinued Operation, Net of Tax
 
 
 
 
 
 
 
 
0 
0 
0 
Net Income
 
 
 
 
 
 
 
 
864 
778 
583 
Income (Loss) from Continuing Operations Attributable to Noncontrolling Interest
 
 
 
 
 
 
 
 
0 
0 
0 
Net Income Attributable to Tyson
 
 
 
 
 
 
 
 
864 
778 
583 
Comprehensive Income (Loss)
 
 
 
 
 
 
 
 
817 
733 
599 
Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interests
 
 
 
 
 
 
 
 
0 
0 
0 
Comprehensive Income Attributable to Tyson
 
 
 
 
 
 
 
 
817 
733 
599 
TFM Parent, Guarantors [Member]
 
 
 
 
 
 
 
 
 
 
 
Condensed Financial Statements, Captions [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
21,924 
19,243 
18,832 
Cost of Sales
 
 
 
 
 
 
 
 
20,971 
18,464 
18,088 
Gross Profit
 
 
 
 
 
 
 
 
953 
779 
744 
Selling, General and Administrative
 
 
 
 
 
 
 
 
240 
201 
205 
Operating Income
 
 
 
 
 
 
 
 
713 
578 
539 
Other (Income) Expense:
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
 
 
 
 
 
 
 
 
49 
62 
143 
Other, net
 
 
 
 
 
 
 
 
(1)
(1)
0 
Equity in net earnings of subsidiaries
 
 
 
 
 
 
 
 
(43)
(40)
(43)
Total Other (Income) Expense
 
 
 
 
 
 
 
 
5 
21 
100 
Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
708 
557 
439 
Income Tax Expense
 
 
 
 
 
 
 
 
227 
172 
130 
Income from Continuing Operations
 
 
 
 
 
 
 
 
481 
385 
309 
Loss from Discontinued Operation, Net of Tax
 
 
 
 
 
 
 
 
0 
0 
0 
Net Income
 
 
 
 
 
 
 
 
481 
385 
309 
Income (Loss) from Continuing Operations Attributable to Noncontrolling Interest
 
 
 
 
 
 
 
 
0 
0 
0 
Net Income Attributable to Tyson
 
 
 
 
 
 
 
 
481 
385 
309 
Comprehensive Income (Loss)
 
 
 
 
 
 
 
 
449 
380 
324 
Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interests
 
 
 
 
 
 
 
 
0 
0 
0 
Comprehensive Income Attributable to Tyson
 
 
 
 
 
 
 
 
449 
380 
324 
Non-Guarantors [Member]
 
 
 
 
 
 
 
 
 
 
 
Condensed Financial Statements, Captions [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
16,926 
16,120 
15,152 
Cost of Sales
 
 
 
 
 
 
 
 
15,689 
14,932 
14,061 
Gross Profit
 
 
 
 
 
 
 
 
1,237 
1,188 
1,091 
Selling, General and Administrative
 
 
 
 
 
 
 
 
884 
714 
641 
Operating Income
 
 
 
 
 
 
 
 
353 
474 
450 
Other (Income) Expense:
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
 
 
 
 
 
 
 
 
13 
40 
152 
Other, net
 
 
 
 
 
 
 
 
(13)
(23)
(24)
Equity in net earnings of subsidiaries
 
 
 
 
 
 
 
 
0 
0 
0 
Total Other (Income) Expense
 
 
 
 
 
 
 
 
0 
17 
128 
Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
353 
457 
322 
Income Tax Expense
 
 
 
 
 
 
 
 
68 
150 
130 
Income from Continuing Operations
 
 
 
 
 
 
 
 
285 
307 
192 
Loss from Discontinued Operation, Net of Tax
 
 
 
 
 
 
 
 
0 
(70)
(38)
Net Income
 
 
 
 
 
 
 
 
285 
237 
154 
Income (Loss) from Continuing Operations Attributable to Noncontrolling Interest
 
 
 
 
 
 
 
 
(8)
0 
(7)
Net Income Attributable to Tyson
 
 
 
 
 
 
 
 
293 
237 
161 
Comprehensive Income (Loss)
 
 
 
 
 
 
 
 
243 
212 
166 
Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interests
 
 
 
 
 
 
 
 
(8)
0 
(7)
Comprehensive Income Attributable to Tyson
 
 
 
 
 
 
 
 
251 
212 
173 
Eliminations [Member]
 
 
 
 
 
 
 
 
 
 
 
Condensed Financial Statements, Captions [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
(1,849)
(1,420)
(1,281)
Cost of Sales
 
 
 
 
 
 
 
 
(1,839)
(1,420)
(1,280)
Gross Profit
 
 
 
 
 
 
 
 
(10)
0 
(1)
Selling, General and Administrative
 
 
 
 
 
 
 
 
(10)
0 
(1)
Operating Income
 
 
 
 
 
 
 
 
0 
0 
0 
Other (Income) Expense:
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
 
 
 
 
 
 
 
 
0 
0 
0 
Other, net
 
 
 
 
 
 
 
 
0 
0 
0 
Equity in net earnings of subsidiaries
 
 
 
 
 
 
 
 
774 
622 
470 
Total Other (Income) Expense
 
 
 
 
 
 
 
 
774 
622 
470 
Income from Continuing Operations before Income Taxes
 
 
 
 
 
 
 
 
(774)
(622)
(470)
Income Tax Expense
 
 
 
 
 
 
 
 
0 
0 
0 
Income from Continuing Operations
 
 
 
 
 
 
 
 
(774)
(622)
(470)
Loss from Discontinued Operation, Net of Tax
 
 
 
 
 
 
 
 
0 
0 
0 
Net Income
 
 
 
 
 
 
 
 
(774)
(622)
(470)
Income (Loss) from Continuing Operations Attributable to Noncontrolling Interest
 
 
 
 
 
 
 
 
0 
0 
0 
Net Income Attributable to Tyson
 
 
 
 
 
 
 
 
(774)
(622)
(470)
Comprehensive Income (Loss)
 
 
 
 
 
 
 
 
(692)
(592)
(497)
Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interests
 
 
 
 
 
 
 
 
0 
0 
0 
Comprehensive Income Attributable to Tyson
 
 
 
 
 
 
 
 
$ (692)
$ (592)
$ (497)
Condensed Consolidating Financial Statements (Condensed Consolidating Balance Sheet) (Details) (USD $)
In Millions, unless otherwise specified
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Oct. 1, 2011
Assets
 
 
 
 
Cash and cash equivalents
$ 438 
$ 1,145 
$ 1,071 
$ 716 
Accounts receivable, net
1,684 
1,497 
 
 
Inventories
3,274 
2,817 
 
 
Other current assets
379 
145 
 
 
Assets held for sale
446 
0 
 
 
Total Current Assets
6,221 
5,604 
 
 
Net Property, Plant and Equipment
5,130 
4,053 
 
 
Goodwill
6,706 
1,902 
1,891 
 
Intangible Assets
5,276 
138 
 
 
Other Assets
623 
480 
 
 
Investment in Subsidiaries
0 
0 
 
 
Total Assets
23,956 
12,177 
11,896 
 
Liabilities and Shareholders’ Equity
 
 
 
 
Current debt
643 
513 
 
 
Accounts payable
1,806 
1,359 
 
 
Other current liabilities
1,207 
1,138 
 
 
Liabilities held for sale
141 
0 
 
 
Total Current Liabilities
3,797 
3,010 
 
 
Long-Term Debt
7,535 
1,895 
 
 
Deferred Income Taxes
2,450 
479 
 
 
Other Liabilities
1,270 
560 
 
 
Total Tyson Shareholders’ Equity
8,890 
6,201 
 
 
Noncontrolling Interests
14 
32 
 
 
Total Shareholders’ Equity
8,904 
6,233 
6,042 
 
Total Liabilities and Shareholders’ Equity
23,956 
12,177 
 
 
TFI Parent [Member]
 
 
 
 
Assets
 
 
 
 
Cash and cash equivalents
0 
0 
1 
1 
Accounts receivable, net
3 
0 
 
 
Inventories
0 
0 
 
 
Other current assets
42 
351 
 
 
Assets held for sale
3 
 
 
 
Total Current Assets
48 
351 
 
 
Net Property, Plant and Equipment
30 
32 
 
 
Goodwill
0 
0 
 
 
Intangible Assets
0 
0 
 
 
Other Assets
204 
895 
 
 
Investment in Subsidiaries
20,845 
11,975 
 
 
Total Assets
21,127 
13,253 
 
 
Liabilities and Shareholders’ Equity
 
 
 
 
Current debt
240 
457 
 
 
Accounts payable
35 
27 
 
 
Other current liabilities
4,718 
4,625 
 
 
Liabilities held for sale
0 
 
 
 
Total Current Liabilities
4,993 
5,109 
 
 
Long-Term Debt
7,056 
1,770 
 
 
Deferred Income Taxes
21 
24 
 
 
Other Liabilities
167 
149 
 
 
Total Tyson Shareholders’ Equity
8,890 
6,201 
 
 
Noncontrolling Interests
0 
0 
 
 
Total Shareholders’ Equity
8,890 
6,201 
 
 
Total Liabilities and Shareholders’ Equity
21,127 
13,253 
 
 
TFM Parent, Guarantors [Member]
 
 
 
 
Assets
 
 
 
 
Cash and cash equivalents
41 
21 
9 
1 
Accounts receivable, net
665 
571 
 
 
Inventories
1,272 
1,039 
 
 
Other current assets
78 
88 
 
 
Assets held for sale
0 
 
 
 
Total Current Assets
2,056 
1,719 
 
 
Net Property, Plant and Equipment
932 
891 
 
 
Goodwill
881 
881 
 
 
Intangible Assets
15 
21 
 
 
Other Assets
148 
162 
 
 
Investment in Subsidiaries
2,049 
2,035 
 
 
Total Assets
6,081 
5,709 
 
 
Liabilities and Shareholders’ Equity
 
 
 
 
Current debt
0 
132 
 
 
Accounts payable
755 
575 
 
 
Other current liabilities
235 
200 
 
 
Liabilities held for sale
0 
 
 
 
Total Current Liabilities
990 
907 
 
 
Long-Term Debt
2 
679 
 
 
Deferred Income Taxes
96 
93 
 
 
Other Liabilities
125 
155 
 
 
Total Tyson Shareholders’ Equity
4,868 
3,875 
 
 
Noncontrolling Interests
0 
0 
 
 
Total Shareholders’ Equity
4,868 
3,875 
 
 
Total Liabilities and Shareholders’ Equity
6,081 
5,709 
 
 
Non-Guarantors [Member]
 
 
 
 
Assets
 
 
 
 
Cash and cash equivalents
397 
1,124 
1,061 
714 
Accounts receivable, net
1,016 
926 
 
 
Inventories
2,002 
1,778 
 
 
Other current assets
379 
117 
 
 
Assets held for sale
443 
 
 
 
Total Current Assets
4,237 
3,945 
 
 
Net Property, Plant and Equipment
4,168 
3,130 
 
 
Goodwill
5,825 
1,021 
 
 
Intangible Assets
5,261 
117 
 
 
Other Assets
326 
244 
 
 
Investment in Subsidiaries
0 
0 
 
 
Total Assets
19,817 
8,457 
 
 
Liabilities and Shareholders’ Equity
 
 
 
 
Current debt
403 
251 
 
 
Accounts payable
1,016 
757 
 
 
Other current liabilities
921 
901 
 
 
Liabilities held for sale
141 
 
 
 
Total Current Liabilities
2,481 
1,909 
 
 
Long-Term Debt
532 
241 
 
 
Deferred Income Taxes
2,333 
362 
 
 
Other Liabilities
978 
282 
 
 
Total Tyson Shareholders’ Equity
13,479 
5,631 
 
 
Noncontrolling Interests
14 
32 
 
 
Total Shareholders’ Equity
13,493 
5,663 
 
 
Total Liabilities and Shareholders’ Equity
19,817 
8,457 
 
 
Eliminations [Member]
 
 
 
 
Assets
 
 
 
 
Cash and cash equivalents
0 
0 
0 
0 
Accounts receivable, net
0 
0 
 
 
Inventories
0 
0 
 
 
Other current assets
(120)
(411)
 
 
Assets held for sale
0 
 
 
 
Total Current Assets
(120)
(411)
 
 
Net Property, Plant and Equipment
0 
0 
 
 
Goodwill
0 
0 
 
 
Intangible Assets
0 
0 
 
 
Other Assets
(55)
(821)
 
 
Investment in Subsidiaries
(22,894)
(14,010)
 
 
Total Assets
(23,069)
(15,242)
 
 
Liabilities and Shareholders’ Equity
 
 
 
 
Current debt
0 
(327)
 
 
Accounts payable
0 
0 
 
 
Other current liabilities
(4,667)
(4,588)
 
 
Liabilities held for sale
0 
 
 
 
Total Current Liabilities
(4,667)
(4,915)
 
 
Long-Term Debt
(55)
(795)
 
 
Deferred Income Taxes
0 
0 
 
 
Other Liabilities
0 
(26)
 
 
Total Tyson Shareholders’ Equity
(18,347)
(9,506)
 
 
Noncontrolling Interests
0 
0 
 
 
Total Shareholders’ Equity
(18,347)
(9,506)
 
 
Total Liabilities and Shareholders’ Equity
$ (23,069)
$ (15,242)
 
 
Condensed Consolidating Financial Statements (Condensed Consolidating Statement Of Cash Flows) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Condensed Financial Statements, Captions [Line Items]
 
 
 
Cash Provided by (Used for) Operating Activities
$ 1,178 
$ 1,314 
$ 1,187 
Cash Flows from Investing Activities:
 
 
 
Additions to property, plant and equipment
(632)
(558)
(690)
(Purchases of)/Proceeds from marketable securities, net
15 
(18)
(11)
Proceeds from notes receivable
0 
0 
0 
Acquisitions, net of cash acquired
(8,193)
(106)
0 
Other, net
10 
39 
41 
Cash Provided by (Used for) Investing Activities
(8,800)
(643)
(660)
Cash Flows from Financing Activities:
 
 
 
Net change in debt
5,142 
(23)
123 
Proceeds from issuance of common stock, net of issuance costs
873 
0 
0 
Proceeds from issuance of equity component of tangible equity units
1,255 
0 
0 
Purchases of Tyson Class A common stock
(295.00)
(614.00)
(264.00)
Dividends
(104)
(104)
(57)
Stock options exercised
67 
123 
34 
Other, net
(23)
18 
(7)
Net change in intercompany balances
0 
0 
0 
Cash Provided by (Used for) Financing Activities
6,915 
(600)
(171)
Effect of Exchange Rate Change on Cash
0 
3 
(1)
Increase (Decrease) in Cash and Cash Equivalents
(707)
74 
355 
Cash and Cash Equivalents at Beginning of Year
1,145 
1,071 
716 
Cash and Cash Equivalents at End of Period
438 
1,145 
1,071 
TFI Parent [Member]
 
 
 
Condensed Financial Statements, Captions [Line Items]
 
 
 
Cash Provided by (Used for) Operating Activities
132 
294 
312 
Cash Flows from Investing Activities:
 
 
 
Additions to property, plant and equipment
(1)
(4)
(1)
(Purchases of)/Proceeds from marketable securities, net
0 
0 
0 
Proceeds from notes receivable
0 
0 
0 
Acquisitions, net of cash acquired
(8,193)
0 
0 
Other, net
5 
0 
1 
Cash Provided by (Used for) Investing Activities
(8,189)
(4)
0 
Cash Flows from Financing Activities:
 
 
 
Net change in debt
5,154 
5 
107 
Proceeds from issuance of common stock, net of issuance costs
873 
0 
0 
Proceeds from issuance of equity component of tangible equity units
1,255 
0 
0 
Purchases of Tyson Class A common stock
(295.00)
(614.00)
(264.00)
Dividends
(104)
(104)
(57)
Stock options exercised
67 
123 
34 
Other, net
(22)
18 
(8)
Net change in intercompany balances
1,129 
281 
(124)
Cash Provided by (Used for) Financing Activities
8,057 
(291)
(312)
Effect of Exchange Rate Change on Cash
0 
0 
0 
Increase (Decrease) in Cash and Cash Equivalents
0 
(1)
0 
Cash and Cash Equivalents at Beginning of Year
0 
1 
1 
Cash and Cash Equivalents at End of Period
0 
0 
1 
TFM Parent, Guarantors [Member]
 
 
 
Condensed Financial Statements, Captions [Line Items]
 
 
 
Cash Provided by (Used for) Operating Activities
431 
337 
438 
Cash Flows from Investing Activities:
 
 
 
Additions to property, plant and equipment
(147)
(113)
(104)
(Purchases of)/Proceeds from marketable securities, net
0 
(13)
(7)
Proceeds from notes receivable
0 
0 
0 
Acquisitions, net of cash acquired
0 
0 
0 
Other, net
2 
3 
5 
Cash Provided by (Used for) Investing Activities
(145)
(123)
(106)
Cash Flows from Financing Activities:
 
 
 
Net change in debt
0 
0 
0 
Proceeds from issuance of common stock, net of issuance costs
0 
0 
0 
Proceeds from issuance of equity component of tangible equity units
0 
0 
0 
Purchases of Tyson Class A common stock
0 
0 
0 
Dividends
0 
0 
0 
Stock options exercised
0 
0 
0 
Other, net
0 
0 
0 
Net change in intercompany balances
(266)
(202)
(324)
Cash Provided by (Used for) Financing Activities
(266)
(202)
(324)
Effect of Exchange Rate Change on Cash
0 
0 
0 
Increase (Decrease) in Cash and Cash Equivalents
20 
12 
8 
Cash and Cash Equivalents at Beginning of Year
21 
9 
1 
Cash and Cash Equivalents at End of Period
41 
21 
9 
Non-Guarantors [Member]
 
 
 
Condensed Financial Statements, Captions [Line Items]
 
 
 
Cash Provided by (Used for) Operating Activities
660 
696 
447 
Cash Flows from Investing Activities:
 
 
 
Additions to property, plant and equipment
(484)
(441)
(585)
(Purchases of)/Proceeds from marketable securities, net
15 
(5)
(4)
Proceeds from notes receivable
0 
0 
0 
Acquisitions, net of cash acquired
0 
(106)
0 
Other, net
3 
36 
35 
Cash Provided by (Used for) Investing Activities
(466)
(516)
(554)
Cash Flows from Financing Activities:
 
 
 
Net change in debt
(12)
(28)
16 
Proceeds from issuance of common stock, net of issuance costs
0 
0 
0 
Proceeds from issuance of equity component of tangible equity units
0 
0 
0 
Purchases of Tyson Class A common stock
0 
0 
0 
Dividends
(45)
(13)
(10)
Stock options exercised
0 
0 
0 
Other, net
(1)
0 
1 
Net change in intercompany balances
(863)
(79)
448 
Cash Provided by (Used for) Financing Activities
(921)
(120)
455 
Effect of Exchange Rate Change on Cash
0 
3 
(1)
Increase (Decrease) in Cash and Cash Equivalents
(727)
63 
347 
Cash and Cash Equivalents at Beginning of Year
1,124 
1,061 
714 
Cash and Cash Equivalents at End of Period
397 
1,124 
1,061 
Eliminations [Member]
 
 
 
Condensed Financial Statements, Captions [Line Items]
 
 
 
Cash Provided by (Used for) Operating Activities
(45)
(13)
(10)
Cash Flows from Investing Activities:
 
 
 
Additions to property, plant and equipment
0 
0 
0 
(Purchases of)/Proceeds from marketable securities, net
0 
0 
0 
Proceeds from notes receivable
0 
0 
0 
Acquisitions, net of cash acquired
0 
0 
0 
Other, net
0 
0 
0 
Cash Provided by (Used for) Investing Activities
0 
0 
0 
Cash Flows from Financing Activities:
 
 
 
Net change in debt
0 
0 
0 
Proceeds from issuance of common stock, net of issuance costs
0 
0 
0 
Proceeds from issuance of equity component of tangible equity units
0 
0 
0 
Purchases of Tyson Class A common stock
0 
0 
0 
Dividends
45 
13 
10 
Stock options exercised
0 
0 
0 
Other, net
0 
0 
0 
Net change in intercompany balances
0 
0 
0 
Cash Provided by (Used for) Financing Activities
45 
13 
10 
Effect of Exchange Rate Change on Cash
0 
0 
0 
Increase (Decrease) in Cash and Cash Equivalents
0 
0 
0 
Cash and Cash Equivalents at Beginning of Year
0 
0 
0 
Cash and Cash Equivalents at End of Period
$ 0 
$ 0 
$ 0 
Condensed Consolidating Financial Statements (Narrative) (Details) (USD $)
Sep. 27, 2014
Aug. 31, 2014
Condensed Financial Information of Parent Company Only Disclosure [Abstract]
 
 
Amount available under credit facility
$ 1,250,000,000.00 
$ 1,000,000,000.0 
Valuation And Qualifying Accounts (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Sep. 27, 2014
Sep. 28, 2013
Sep. 29, 2012
Allowance for Doubtful Accounts [Member]
 
 
 
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Balance at Beginning of Period
$ 46 
$ 33 
$ 31 
Charged to Costs and Expenses
5 
17 
7 
Charged to Other Accounts
0 
0 
0 
(Deductions)
(17)
(4)
(5)
Balance at End of Period
34 
46 
33 
Inventory Lower of Cost or Market Allowance [Member]
 
 
 
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Balance at Beginning of Period
16 
24 
6 
Charged to Costs and Expenses
14 
49 
52 
Charged to Other Accounts
0 
0 
0 
(Deductions)
(23)
(57)
(34)
Balance at End of Period
7 
16 
24 
Valuation Allowance on Deferred Tax Assets [Member]
 
 
 
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Balance at Beginning of Period
77 
78 
92 
Charged to Costs and Expenses
26 
8 
16 
Charged to Other Accounts
13 
0 
0 
(Deductions)
(65)
(9)
(30)
Balance at End of Period
$ 51 
$ 77 
$ 78