TYSON FOODS, INC., 10-Q filed on 2/11/2021
Quarterly Report
v3.20.4
Document and Entity Information
 3 Months Ended
Jan. 02, 2021
$ / shares
shares
Document Type 10-Q
Document Quarterly Report true
Document Period End Date Jan. 02, 2021
Document Transition Report false
Entity File Number 001-14704
Entity Registrant Name TYSON FOODS, INC.
Entity Tax Identification Number 71-0225165
Entity Addresses [Line Items] 2200 West Don Tyson Parkway,
Entity Address, City or Town Springdale,
Entity Address, State or Province AR
Entity Address, Postal Zip Code 72762-6999
City Area Code (479)
Local Phone Number 290-4000
Entity Listing, Description Class A Common Stock
Entity Listing, Par Value Per Share | $ / shares $ 0.10
Trading Symbol TSN
Security Exchange Name NYSE
Entity Current Reporting Status Yes
Entity Current Interactive Data Filing Status Yes
Entity Filer Category Large Accelerated Filer
Entity Small Business false
Entity Emerging Growth Company false
Entity Shell Company false
Entity Central Index Key 0000100493
Current Fiscal Year End Date --10-02
Document Fiscal Year Focus 2021
Document Fiscal Period Focus Q1
Amendment Flag false
Entity Incorporation, State or Country Code DE
Class A [Member]  
Entity Common Stock, Shares Outstanding 294,722,280
Class B [Member]  
Entity Common Stock, Shares Outstanding 70,010,355
v3.20.4
Consolidated Condensed Statements Of Income - USD ($)
shares in Millions, $ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Sales $ 10,460 $ 10,815
Cost of Sales 9,283 9,375
Gross Profit 1,177 1,440
Operating Expenses:    
Selling, General and Administrative 472 682
Operating Income 705 758
Other (Income) Expense:    
Interest income (2) (3)
Interest expense 110 120
Other, net (19) (16)
Total Other (Income) Expense 89 101
Income before Income Taxes 616 657
Income Tax Expense 144 148
Net Income 472 509
Less: Net Income Attributable to Noncontrolling Interests 5 4
Net Income Attributable to Tyson $ 467 $ 505
Weighted Average Shares Outstanding:    
Diluted, Shares 365 367
Net Income Per Share Attributable to Tyson:    
Diluted (USD per share) $ 1.28 $ 1.38
Class A [Member]    
Weighted Average Shares Outstanding:    
Basic, Shares 293 293
Net Income Per Share Attributable to Tyson:    
Basic (USD per share) $ 1.31 $ 1.42
Class B [Member]    
Weighted Average Shares Outstanding:    
Basic, Shares 70 70
Net Income Per Share Attributable to Tyson:    
Basic (USD per share) $ 1.18 $ 1.27
v3.20.4
Consolidated Condensed Statements of Comprehensive Income - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Statement of Comprehensive Income [Abstract]    
Net Income $ 472 $ 509
Other Comprehensive Income (Loss), Net of Taxes:    
Derivatives accounted for as cash flow hedges 1 3
Investments 0 0
Currency translation 75 35
Postretirement benefits 1 0
Total Other Comprehensive Income (Loss), Net of Taxes 77 38
Comprehensive Income 549 547
Less: Comprehensive Income Attributable to Noncontrolling Interests 5 4
Comprehensive Income Attributable to Tyson $ 544 $ 543
v3.20.4
Consolidated Condensed Balance Sheets - USD ($)
$ in Millions
Jan. 02, 2021
Oct. 03, 2020
Assets    
Cash and cash equivalents $ 2,406 $ 1,420
Accounts receivable, net 1,900 1,952
Inventories 3,915 3,859
Other current assets 323 367
Total Current Assets 8,544 7,598
Net Property, Plant and Equipment 7,664 7,596
Goodwill 10,913 10,899
Intangible Assets, net 6,719 6,774
Other Assets 1,618 1,589
Total Assets 35,458 34,456
Liabilities and Shareholders' Equity    
Current debt 566 548
Accounts payable 1,997 1,876
Other current liabilities 2,286 1,810
Total Current Liabilities 4,849 4,234
Long-Term Debt 10,791 10,791
Deferred Income Taxes 2,331 2,317
Other Liabilities 1,706 1,728
Commitments and Contingencies (Note 15)
Shareholders' Equity:    
Capital in excess of par value 4,411 4,433
Retained earnings 15,399 15,100
Accumulated other comprehensive gain (loss) (102) (179)
Treasury stock, at cost – 83 million shares at January 2, 2021 and October 3, 2020 (4,115) (4,145)
Total Tyson Shareholders’ Equity 15,638 15,254
Noncontrolling Interests 143 132
Total Shareholders’ Equity 15,781 15,386
Total Liabilities and Shareholders’ Equity 35,458 34,456
Class A [Member]    
Shareholders' Equity:    
Common stock ($0.10 par value): 38 38
Total Tyson Shareholders’ Equity 38 38
Class B [Member]    
Shareholders' Equity:    
Common stock ($0.10 par value): 7 7
Total Tyson Shareholders’ Equity $ 7 $ 7
v3.20.4
Consolidated Condensed Balance Sheets (Parentheticals) - $ / shares
shares in Millions
Jan. 02, 2021
Oct. 03, 2020
Treasury Stock, shares 83 82
Class A [Member]    
Common stock, par value $ 0.10 $ 0.10
Common stock, shares authorized 900 900
Common stock, shares issued 378 378
Class B [Member]    
Common stock, par value $ 0.10 $ 0.10
Common stock, shares authorized 900 900
Common stock, shares issued 70 70
v3.20.4
Consolidated Condensed Statements of Shareholders' Equity - USD ($)
shares in Millions, $ in Millions
Total
Capital in Excess of Par Value:
Retained Earnings:
Accumulated Other Comprehensive Income (Loss), Net of Tax:
Treasury Stock:
Total Shareholders’ Equity Attributable to Tyson
Equity Attributable to Noncontrolling Interests:
Class A [Member]
Class B [Member]
Balance at beginning of quarter, Common Stock Shares at Sep. 28, 2019               378.0 70.0
Balance at beginning of quarter, Shareholders' Equity Attributable to Tyson at Sep. 28, 2019   $ 4,378 $ 13,655 $ (117) $ (4,011)     $ 38 $ 7
Balance at beginning of quarter, Treasury Stock shares at Sep. 28, 2019         82.0        
Balance at beginning of quarter, Shareholders' Equity Attributable to Noncontrolling Interest at Sep. 28, 2019             $ 144    
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Stock-based compensation   (24)     $ 64        
Net income attributable to Tyson $ 505   505            
Dividends     (166)         $ (137) $ (29)
Other comprehensive income (loss) 38     38          
Purchase of Class A common stock, shares         2.0     1.5  
Purchase of Class A common stock         $ (132)        
Stock-based compensation, shares         (1.0)        
Net income attributable to noncontrolling interests 4           (4)    
Other             (1)    
Balance at end of quarter, Common Stock Shares at Dec. 28, 2019               378.0 70.0
Balance at end of quarter, Shareholders' Equity Attributable to Tyson at Dec. 28, 2019 14,235 4,354 13,994 (79) $ (4,079) $ 14,235   $ 38 $ 7
Balance at end of quarter, Treasury Stock shares at Dec. 28, 2019         83.0        
Balance at end of quarter, Shareholders' Equity Attributable to Noncontrolling Interest at Dec. 28, 2019             147    
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Balance at end of quarter, Total Shareholders' Equity 14,382                
Balance at end of quarter, Total Shareholders' Equity 15,386                
Balance at beginning of quarter, Common Stock Shares at Oct. 03, 2020               378.0 70.0
Balance at beginning of quarter, Shareholders' Equity Attributable to Tyson at Oct. 03, 2020 $ 15,254 4,433 15,100 (179) $ (4,145)     $ 38 $ 7
Balance at beginning of quarter, Treasury Stock shares at Oct. 03, 2020 82.0       83.0        
Balance at beginning of quarter, Shareholders' Equity Attributable to Noncontrolling Interest at Oct. 03, 2020 $ 132           132    
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Stock-based compensation   (22)     $ 47        
Net income attributable to Tyson 467   467            
Dividends     (168)         $ (138) $ (30)
Other comprehensive income (loss) 77     77          
Purchase of Class A common stock, shares         0.0     0.3  
Purchase of Class A common stock         $ (17)        
Stock-based compensation, shares         0.0        
Net income attributable to noncontrolling interests 5           (5)    
Other             6    
Balance at end of quarter, Common Stock Shares at Jan. 02, 2021               378.0 70.0
Balance at end of quarter, Shareholders' Equity Attributable to Tyson at Jan. 02, 2021 $ 15,638 $ 4,411 $ 15,399 $ (102) $ (4,115) $ 15,638   $ 38 $ 7
Balance at end of quarter, Treasury Stock shares at Jan. 02, 2021 83.0       83.0        
Balance at end of quarter, Shareholders' Equity Attributable to Noncontrolling Interest at Jan. 02, 2021 $ 143           $ 143    
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Balance at end of quarter, Total Shareholders' Equity $ 15,781                
v3.20.4
Consolidated Condensed Statements Of Cash Flows - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Cash Flows From Operating Activities:    
Net Income $ 472 $ 509
Depreciation and amortization 298 288
Deferred income taxes 17 (13)
Other, net 18 27
Net changes in operating assets and liabilities 580 83
Cash Provided by Operating Activities 1,385 894
Cash Flows From Investing Activities:    
Additions to property, plant and equipment (289) (312)
Purchases of marketable securities (14) (35)
Proceeds from sale of marketable securities 15 19
Proceeds from sale of business 0 29
Other, net 29 (82)
Cash Used for Investing Activities (259) (381)
Cash Flows From Financing Activities:    
Proceeds from issuance of debt 29 38
Repayments of Debt and Lease Obligation 29 31
Borrowings on revolving credit facility 0 180
Repayments of Long-term Lines of Credit 0 250
Proceeds from issuance of commercial paper 0 4,675
Repayments of commercial paper 0 (4,855)
Purchases of Tyson Class A common stock (17) (132)
Dividends (159) (150)
Stock options exercised 4 20
Other, net (1) (2)
Cash Used for Financing Activities (173) (507)
Effect of Exchange Rate Changes on Cash 16 7
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect 969 13
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents 2,435 497
Restricted Cash 29 0
Cash and cash equivalents $ 2,406 $ 497
v3.20.4
Other Comprehensive Income (Loss)
 3 Months Ended
Jan. 02, 2021
Statement of Comprehensive Income [Abstract]  
Other Comprehensive Income (Loss) OTHER COMPREHENSIVE INCOME (LOSS)
The before and after-tax changes in the components of other comprehensive income (loss) are as follows (in millions):
Three Months Ended
January 2, 2021December 28, 2019
Before TaxTaxAfter TaxBefore TaxTaxAfter Tax
Derivatives accounted for as cash flow hedges:
(Gain) loss reclassified to interest expense
$— $— $— $1 $— $1 
(Gain) loss reclassified to cost of sales
1 — 1 2 — 2 
Currency translation:
Translation adjustment
75 — 75 35 — 35 
Postretirement benefits:
Unrealized gain (loss)1 — 1 — — — 
Total other comprehensive income (loss)$77 $— $77 $38 $— $38 
v3.20.4
Other Comprehensive Income (Loss) (Tables)
 3 Months Ended
Jan. 02, 2021
Statement of Comprehensive Income [Abstract]  
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):
Three Months Ended
January 2, 2021December 28, 2019
Before TaxTaxAfter TaxBefore TaxTaxAfter Tax
Derivatives accounted for as cash flow hedges:
(Gain) loss reclassified to interest expense
$— $— $— $1 $— $1 
(Gain) loss reclassified to cost of sales
1 — 1 2 — 2 
Currency translation:
Translation adjustment
75 — 75 35 — 35 
Postretirement benefits:
Unrealized gain (loss)1 — 1 — — — 
Total other comprehensive income (loss)$77 $— $77 $38 $— $38 
v3.20.4
Other Comprehensive Income (Loss) (Components Of Other Comprehensive Income (Loss)) (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Other Comprehensive Income Loss [Line Items]    
Total Other Comprehensive Income (Loss), Before Tax $ 77 $ 38
Total Other Comprehensive Income (Loss), Tax 0 0
Total Other Comprehensive Income (Loss), Net of Taxes 77 38
Derivatives accounted for as cash flow hedges: | Interest Expense [Member]    
Other Comprehensive Income Loss [Line Items]    
Reclassification from Accumulated Other Comprehensive Income, Before Tax 0 1
Reclassification from AOCI, Current Period, Tax 0 0
Reclassification from Accumulated Other Comprehensive Income, Net of Tax 0 1
Derivatives accounted for as cash flow hedges: | Cost of Sales    
Other Comprehensive Income Loss [Line Items]    
Reclassification from Accumulated Other Comprehensive Income, Before Tax 1 2
Reclassification from AOCI, Current Period, Tax 0 0
Reclassification from Accumulated Other Comprehensive Income, Net of Tax 1 2
Currency translation:    
Other Comprehensive Income Loss [Line Items]    
Other Comprehensive Income (Loss), Before Reclassifications, Before Tax 75 35
Other Comprehensive Income (Loss), Before Reclassifications, Tax 0 0
Other Comprehensive Income (Loss), Before Reclassifications, Net of Tax 75 35
Postretirement benefits:    
Other Comprehensive Income Loss [Line Items]    
Other Comprehensive Income (Loss), Before Reclassifications, Before Tax 1 0
Other Comprehensive Income (Loss), Before Reclassifications, Tax 0 0
Other Comprehensive Income (Loss), Before Reclassifications, Net of Tax $ 1 $ 0
v3.20.4
Accounting Policies
 3 Months Ended
Jan. 02, 2021
Policy Text Block [Abstract]  
Accounting Policies ACCOUNTING POLICIES
Basis of Presentation
The consolidated condensed financial statements are unaudited and have been prepared by Tyson Foods, Inc. (“Tyson,” “the Company,” “we,” “us” or “our”). Certain information and accounting policies and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such rules and regulations of the United States Securities and Exchange Commission (the “SEC”). Although we believe the disclosures contained herein are adequate to make the information presented not misleading, these consolidated condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the fiscal year ended October 3, 2020, as amended by Amendment No. 1 on Form 10-K/A filed with the SEC on February 11, 2021 (the “10-K/A”). Preparation of consolidated condensed financial statements requires us to make estimates and assumptions that affect reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated condensed financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
We believe the accompanying consolidated condensed financial statements contain all adjustments, which are of a normal recurring nature, necessary to state fairly our financial position as of January 2, 2021, and the results of operations for the three months ended January 2, 2021, and December 28, 2019. Results of operations and cash flows for the periods presented are not necessarily indicative of results to be expected for the full year.
Consolidation
The consolidated condensed 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.
Use of Estimates
The consolidated condensed 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 condensed financial statements and accompanying notes. Actual results could differ from those estimates.
Risks and Uncertainties
We have considered the impact of the global novel coronavirus pandemic (“COVID-19” or “pandemic”) on our consolidated condensed financial statements. In addition to the COVID-19 impacts already experienced, there likely will be future impacts, the extent of which is uncertain and largely subject to whether the severity worsens or duration lengthens. Consequently, this may subject us to future risk of material goodwill, intangible and long-lived asset impairments, increased reserves for uncollectible accounts, and adjustments for inventory and market volatility for items subject to fair value measurements such as derivatives and investments.
Revision of Previously Issued Unaudited Consolidated Condensed Financial Statements
As previously disclosed in the 10-K/A for the year ended October 3, 2020, during the first quarter of fiscal 2021, the Company discovered information that led to an internal investigation relating to one of its cattle suppliers and determined that this supplier made misrepresentations regarding the number of cattle the supplier purchased on behalf of the Company’s Beef segment. Based upon its investigation, the Company determined that the misappropriation of Company funds by the supplier caused the Company to overstate live cattle inventory for fiscal years and interim periods from 2017 through 2020. The resulting loss to the Company and related inventory misstatement was isolated to the Beef segment and was attributable solely to this cattle supplier. Although the Company evaluated the materiality of the misstatements and concluded that the misstatements did not have a material impact on the previously issued annual or interim financial statements, the Company revised its previously issued 2020, 2019 and 2018 annual financial statements to correct for such misstatements as set forth in the 10-K/A. In connection with the filing of this Quarterly Report on Form 10-Q, the Company has revised the accompanying consolidated condensed interim financial statements as of and for the quarter ended December 28, 2019 to correct for the impact of the misstatements. The applicable notes to the accompanying financials have also been corrected to reflect the impact of the revisions of the previously filed consolidated condensed interim financial statements.
The following tables represent revisions to our consolidated condensed financial information for the first quarter of fiscal 2020:
First Quarterin millions, except per share data
Quarter ended December 28, 2019
As originally reportedAdjustmentsAs revised
Consolidated Statement of Income:
Selling, General and Administrative$614 $68 $682 
Operating Income826 (68)758 
Income before Income Taxes725 (68)657 
Income Tax Expense (Benefit)164 (16)148 
Net Income561 (52)509 
Net Income Attributable to Tyson557 (52)505 
Net Income Per Share Attributable to Tyson
Class A Basic$1.56 $(0.14)$1.42 
Class B Basic$1.40 $(0.13)$1.27 
Diluted$1.52 $(0.14)$1.38 
Consolidated Statement of Comprehensive Income:
Net Income$561 $(52)$509 
Comprehensive Income599 (52)547 
Comprehensive Income Attributable to Tyson595 (52)543 
As of December 28, 2019
As originally reportedAdjustmentsAs revised
Consolidated Balance Sheet:
Inventories$4,304 $(247)$4,057 
Total Current Assets7,193 (247)6,946 
Total Assets33,811 (247)33,564 
Deferred Income Taxes2,369 (63)2,306 
Retained Earnings(a)
14,178 (184)13,994 
Total Tyson Shareholders' Equity14,419 (184)14,235 
Total Shareholders' Equity14,566 (184)14,382 
Total Liabilities and Shareholders' Equity33,811 (247)33,564 
Quarter ended December 28, 2019
As originally reportedAdjustmentsAs revised
Consolidated Statement of Cash Flows:
Net Income$561 $(52)$509 
Deferred income taxes3 (16)(13)
Net changes in operating assets and liabilities15 68 83 
(a) The adjustment to retained earnings includes an impact of $132 million related to misstatements that originated prior to fiscal 2020.
Recently Issued Accounting Pronouncements
In August 2020, the Financial Accounting Standards Board (“FASB”) issued guidance that simplifies the accounting for debt with conversion options, revises the criteria for applying the derivative scope exception for contracts in an entity’s own equity, and improves the consistency for the calculation of earnings per share. The guidance is effective for annual reporting periods and interim periods within those annual reporting periods beginning after December 15, 2021, our fiscal 2023. Early adoption is permitted for annual periods and interim periods within those annual periods beginning after December 15, 2020, our fiscal 2022. We are currently evaluating the impact this guidance will have on our consolidated financial statements.
In March 2020, the FASB issued guidance providing optional expedients and exceptions to account for the effects of reference rate reform to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued. The optional guidance, which became effective on March 12, 2020 and can be applied through December 21, 2022, has not impacted our consolidated financial statements. The Company has various contracts that reference LIBOR and is assessing how this standard may be applied to specific contract modifications through December 31, 2022.
In December 2019, the FASB issued guidance that simplifies the accounting for income taxes by removing certain exceptions to general principles in Topic 740 and clarifies other general principles by adding certain requirements to Topic 740. The guidance is effective for annual reporting periods and interim periods within those annual reporting periods beginning after December 15, 2020, our fiscal 2022. Early adoption is permitted for periods for which financial statements have not yet been issued, beginning our fiscal 2020. An entity that elects to early adopt the amendments in an interim period should reflect any adjustments as of the beginning of the annual period that includes that interim period. The application of the guidance requires various transition methods depending on the specific amendment. We are currently evaluating the impact this guidance will have on our consolidated financial statements.
Changes in Accounting Principles
In June 2016, the FASB issued guidance that provides more decision-useful information about the expected credit losses on financial instruments and changes the loss impairment methodology. The guidance is effective for annual reporting periods and interim periods within those annual reporting periods beginning after December 15, 2019, our fiscal 2021. For available-for-sale debt securities previously impaired, the amendments should be applied prospectively; otherwise, the modified-retrospective transition method should be applied. We adopted this guidance in the first quarter of fiscal 2021 using the modified retrospective transition method. Prior periods were not adjusted and, based on our implementation assessment, no cumulative-effect adjustment was made to the opening balance of retained earnings. The adoption of this standard did not have a material impact on our consolidated financial statements. For further description of our policy for available-for-sale debt securities, refer to Note 11: Fair Value Measurements.
v3.20.4
Inventories
 3 Months Ended
Jan. 02, 2021
Inventory Disclosure [Abstract]  
Inventories INVENTORIES
Processed products, livestock, and supplies and other are valued at the lower of cost or net realizable value. Cost includes purchased raw materials, live purchase costs, growout costs (primarily feed, livestock grower pay and catch and haul costs), labor and manufacturing, and production overhead, which are related to the purchase and production of inventories. At January 2, 2021, the cost of inventories was determined by either the first-in, first-out (“FIFO”) method or the weighted-average method, which is consistent with the methods used at October 3, 2020.
The following table reflects the major components of inventory (in millions):
January 2, 2021October 3, 2020
Processed products$2,142 $2,223 
Livestock1,068 977 
Supplies and other705 659 
Total inventory$3,915 $3,859 
v3.20.4
Property, Plant And Equipment
 3 Months Ended
Jan. 02, 2021
Property, Plant and Equipment, Net [Abstract]  
Property, Plant And Equipment PROPERTY, PLANT AND EQUIPMENT
The major categories of property, plant and equipment and accumulated depreciation are as follows (in millions): 
January 2, 2021October 3, 2020
Land$208 $196 
Buildings and leasehold improvements5,030 4,961 
Machinery and equipment9,112 9,013 
Land improvements and other424 420 
Buildings and equipment under construction1,079 991 
15,853 15,581 
Less accumulated depreciation8,189 7,985 
Net Property, Plant and Equipment$7,664 $7,596 
v3.20.4
Restructuring and Related Charges
 3 Months Ended
Jan. 02, 2021
Restructuring and Related Activities [Abstract]  
Restructuring and Related Charges RESTRUCTURING AND RELATED CHARGES
In the first quarter of fiscal 2020, the Company approved a restructuring program (the “2020 Program”), which is expected to contribute to the Company’s overall strategy of financial fitness through the elimination of overhead and consolidation of certain enterprise functions. We recognized $60 million of cumulative pretax charges in fiscal 2020 associated with the 2020 Program consisting of severance and employee related costs. As part of the 2020 Program, we are eliminating positions across several areas and job levels, with eliminated positions originating from the corporate offices in Springdale, Arkansas and Chicago, Illinois, as well as certain production facility and supply chain administrative positions. The majority of the positions have already been or are expected to be eliminated by the end of fiscal 2021. We do not anticipate future costs of the 2020 Program to be significant.
For the three months ended January 2, 2021, we did not incur restructuring and related charges. For the three months ended December 28, 2019, we recognized restructuring and related charges of $52 million, primarily consisting of severance and employee related costs, of which $9 million was recorded in Cost of Sales and $43 million was recorded in Selling, General and Administrative in our Consolidated Condensed Statements of Income.
Our restructuring liability was $23 million at January 2, 2021 and $37 million at October 3, 2020. The change in the restructuring liability was due to reductions of $14 million, primarily consisting of payments, during the three months ended January 2, 2021.
v3.20.4
Other Current Liabilities
 3 Months Ended
Jan. 02, 2021
Other Liabilities, Current [Abstract]  
Other Current Liabilities OTHER CURRENT LIABILITIES
Other current liabilities are as follows (in millions):
January 2, 2021October 3, 2020
Accrued salaries, wages and benefits$655 $823 
Taxes payable407 152 
Accrued current legal contingencies339 18 
Other885 817 
Total other current liabilities$2,286 $1,810 
v3.20.4
Debt
 3 Months Ended
Jan. 02, 2021
Debt Instruments [Abstract]  
Debt DEBT
The major components of debt are as follows (in millions):
January 2, 2021October 3, 2020
Revolving credit facility$— $— 
Commercial paper— — 
Senior notes:
2.25% Notes due August 2021500 500 
4.50% Senior notes due June 20221,000 1,000 
3.90% Senior notes due September 2023400 400 
3.95% Notes due August 20241,250 1,250 
4.00% Notes due March 2026 (“2026 Notes”)800 800 
3.55% Notes due June 20271,350 1,350 
7.00% Notes due January 202818 18 
4.35% Notes due March 2029 (“2029 Notes”)1,000 1,000 
6.13% Notes due November 2032160 160 
4.88% Notes due August 2034500 500 
5.15% Notes due August 2044500 500 
4.55% Notes due June 2047750 750 
5.10% Notes due September 2048 (“2048 Notes”)1,500 1,500 
Discount on senior notes(44)(45)
Term loan:
Term loan facility due March 2022 (1.69% at 1/2/2021)1,500 1,500 
Other231 216 
Unamortized debt issuance costs(58)(60)
Total debt11,357 11,339 
Less current debt566 548 
Total long-term debt$10,791 $10,791 
Term Loan Facility due March 2022
On March 27, 2020, we executed a new $1.5 billion term loan facility to refinance our short-term promissory notes (“commercial paper program”), repay outstanding balances under our revolving credit facility and for general liquidity purposes. In February 2021, we repaid $750 million of the $1.5 billion outstanding. The term loan facility expires on March 27, 2022 and is subject to prepayment under certain conditions. Additionally, the term loan facility contains covenants that are similar to those contained in the revolving credit facility.
Revolving Credit Facility and Letters of Credit
We have a $1.75 billion revolving credit facility that supports short-term funding needs and serves as a backstop to our commercial paper program. The facility will mature and the commitments thereunder will terminate in March 2023. At January 2, 2021, amounts available for borrowing under this facility totaled $1.75 billion and we had no borrowings and no outstanding letters of credit issued under this facility. At January 2, 2021, we had $101 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 leasing and workers’ compensation insurance programs and other legal obligations. In the future, if any of our subsidiaries shall guarantee any of our material indebtedness, such subsidiary shall be required to guarantee the indebtedness, obligations and liabilities under this facility.
Commercial Paper Program
We have a commercial paper program under which we may issue unsecured short-term promissory notes up to an aggregate maximum principal amount of $1 billion. As of January 2, 2021, we had no commercial paper outstanding. Our ability to access commercial paper in the future may be limited or its costs increased, due to market conditions which have been impacted in part by COVID-19.
Debt Covenants
Our revolving credit and term loan facilities contain 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 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 January 2, 2021.
v3.20.4
Equity
 3 Months Ended
Jan. 02, 2021
Equity [Abstract]  
Equity EQUITY
Share Repurchases
As of January 2, 2021, 18.9 million shares remained available for repurchase under our share repurchase program. 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, markets, industry conditions, liquidity targets, limitations under 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 share repurchases of our Class A stock is as follows (in millions):
Three Months Ended
January 2, 2021December 28, 2019
SharesDollarsSharesDollars
Shares repurchased:
Under share repurchase program— $— 1.1 $100 
To fund certain obligations under equity compensation plans0.3 17 0.4 32 
Total share repurchases0.3 $17 1.5 $132 
v3.20.4
Income Taxes
 3 Months Ended
Jan. 02, 2021
Income Tax Disclosure [Abstract]  
Income Taxes INCOME TAXES
Our effective tax rate was 23.4% and 22.5% for the first quarter of fiscal 2021 and 2020, respectively. The effective tax rates for the first quarter of fiscal 2021 and 2020 were higher than the federal statutory tax rate primarily due to state taxes, partially offset by various tax benefits.
Unrecognized tax benefits were $163 million and $165 million at January 2, 2021 and October 3, 2020, respectively. We do not expect material changes to our unrecognized tax benefits during the next twelve months.
v3.20.4
Earnings Per Share
 3 Months Ended
Jan. 02, 2021
Earnings Per Share [Abstract]  
Earnings Per Share EARNINGS PER SHARE
The following table sets forth the computation of basic and diluted earnings per share (in millions, except per share data): 
Three Months Ended
January 2, 2021December 28, 2019
Numerator:
Net income$472 $509 
Less: Net income attributable to noncontrolling interests5 4 
Net income attributable to Tyson467 505 
Less dividends declared:
Class A 138 137 
Class B 30 29 
Undistributed earnings$299 $339 
Class A undistributed earnings$246 $279 
Class B undistributed earnings53 60 
Total undistributed earnings$299 $339 
Denominator:
Denominator for basic earnings per share:
Class A weighted average shares293 293 
Class B weighted average shares, and shares under the if-converted method for diluted earnings per share70 70 
Effect of dilutive securities:
Stock options, restricted stock and performance units2 4 
Denominator for diluted earnings per share – adjusted weighted average shares and assumed conversions365 367 
Net income per share attributable to Tyson:
Class A basic$1.31 $1.42 
Class B basic$1.18 $1.27 
Diluted$1.28 $1.38 
Dividends Declared Per Share:
Class A$0.470 $0.465 
Class B$0.423 $0.419 
Approximately 6 million and 2 million of our stock-based compensation shares were antidilutive for the three months ended January 2, 2021 and December 28, 2019, respectively. These shares were not included in the diluted 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 1.0 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.
v3.20.4
Derivative Financial Instruments
 3 Months Ended
Jan. 02, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
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 to reduce our exposure to commodity price risk, foreign currency risk and interest rate risk. Our risk management programs are periodically reviewed by our Board of Directors' Audit Committee. These programs and risks are monitored by senior management and may be revised as market conditions dictate. Our current risk management programs utilize various industry-standard models that take into account the implicit cost of hedging. Credit risks associated with our derivative contracts are not significant as we minimize counterparty exposure by dealing with credit-worthy counterparties and utilizing exchange traded instruments, margin accounts or letters of credit. 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 related to our derivative financial instruments existed at January 2, 2021.
We had the following aggregated outstanding notional amounts related to our derivative financial instruments:
in millions, except soybean meal tonsMetricJanuary 2, 2021October 3, 2020
Commodity:
CornBushels5 43 
Soybean MealTons579,833 428,300 
Live CattlePounds165 234 
Lean HogsPounds254283
Foreign CurrencyUnited States dollar$412 $536 
We recognize all derivative instruments as either assets or liabilities at fair value in the Consolidated Condensed Balance Sheets, with the exception of normal purchases and normal sales expected to result in physical delivery. For those derivative instruments that are designated and qualify as hedging instruments, we designate the hedging instrument based upon the exposure being hedged (e.g., cash flow hedge or fair value hedge). We designate certain forward contracts as follows:
•Cash Flow Hedges – include certain commodity forward and option contracts of forecasted purchases (e.g., grains), interest rate swaps and locks, and certain foreign exchange forward contracts.
•Fair Value Hedges – include certain commodity forward contracts of firm commitments (e.g., livestock).
Cash Flow Hedges
Derivative instruments are designated as hedges against changes in the amount of future cash flows related to procurement of certain commodities utilized in our production processes as well as interest rates related to our variable rate debt. 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 other comprehensive income (“OCI”) and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. As of January 2, 2021, we have $16 million of realized losses related to treasury rate locks in connection with the issuance of the 2026, 2029 and 2048 Notes, which will be reclassified to earnings over the lives of these notes. During the three months ended January 2, 2021 and December 28, 2019, we did not reclassify significant pretax gains or losses into earnings as a result of the discontinuance of cash flow hedges. For the three months ended January 2, 2021 and December 28, 2019, we recognized no gains or losses in OCI on derivatives designated as cash flow hedges.
Fair Value Hedges
We designate certain derivative contracts as fair value hedges of firm commitments to purchase livestock for harvest. 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. 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 (e.g., livestock purchase firm commitments) in the same line item, Cost of Sales, as the offsetting gain or loss on the related livestock forward position. Ineffectiveness related to fair value hedges was insignificant for the three months ended January 2, 2021, and December 28, 2019. The carrying amount of fair value hedge (assets) liabilities as of January 2, 2021 and October 3, 2020 were as follows (in millions):
Consolidated Condensed Balance Sheets ClassificationJanuary 2, 2021October 3, 2020
Inventory$8 $6 
Undesignated Positions
In addition to our designated positions, we also hold derivative 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.
Reclassification to Earnings
The following table sets forth the total amounts of each income and expense line item presented in the Consolidated Condensed Statements of Income in which the effects of hedges are recorded (in millions):
Consolidated Condensed
Statements of Income Classification		Three Months Ended
January 2, 2021December 28, 2019
Cost of Sales$9,283 $9,375 
Interest Expense110 120 
Other, net(19)(16)
The following table sets forth the pretax impact of the cash flow, fair value and undesignated derivative instruments in the Consolidated Condensed Statements of Income (in millions):
Consolidated Condensed
Statements of Income Classification		Three Months Ended
January 2, 2021December 28, 2019
Cost of SalesGain (Loss) on cash flow hedges reclassified from OCI to Earnings:
Commodity contracts$(1)$(2)
Gain (Loss) on fair value hedges:
Commodity contracts (a) (2)16 
Gain (Loss) on derivatives not designated as hedging instruments:
Commodity contracts98 29 
Total$95 $43 
Interest ExpenseGain (Loss) on cash flow hedges reclassified from OCI to Earnings:
Interest rate contracts$— $(1)
Other, netGain (Loss) on derivatives not designated as hedging instruments:
Foreign exchange contracts$1 $4 
(a) Amounts represent gains/(losses) on commodity contracts designated as fair value hedges of firm commitments that were realized during the period presented, which were offset by a corresponding gain/(loss) on the underlying hedged inventory. Gains or losses related to changes in the fair value of unrealized commodity contracts, along with the offsetting gain or loss on the hedged inventory, are also marked-to-market through earnings with no impact on a net basis.
The fair value of all outstanding derivative instruments in the Consolidated Condensed Balance Sheets are included in Note 11: Fair Value Measurements.
v3.20.4
Fair Value Measurements
 3 Months Ended
Jan. 02, 2021
Fair Value Disclosures [Abstract]  
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): 
January 2, 2021Level 1Level 2Level 3Netting (a)Total
Other Current Assets:
Derivative financial instruments:
Designated as hedges$— $1 $— $— $1 
Undesignated — 210 — (146)64 
Other Assets:
Available-for-sale securities:
Non-current— 57 51 — 108 
Deferred compensation assets11 373 — — 384 
Total assets$11 $641 $51 $(146)$557 
Other Current Liabilities:
Derivative financial instruments:
Designated as hedges$— $9 $— $(9)$— 
Undesignated — 98 — (82)16 
Total liabilities$— $107 $— $(91)$16 
October 3, 2020Level 1Level 2Level 3Netting (a)Total
Other Current Assets:
Derivative financial instruments:
Designated as hedges$— $4 $— $(2)$2 
Undesignated — 96 — (51)45 
Other Assets:
Available-for-sale securities:
Non-current— 55 53 — 108 
Deferred compensation assets19 336 — — 355 
Total assets$19 $491 $53 $(53)$510 
Other Current Liabilities:
Derivative financial instruments:
Designated as hedges$— $10 $— $(10)$— 
Undesignated — 74 — (59)15 
Total liabilities$— $84 $— $(69)$15 
(a) Our derivative assets and liabilities are presented in our Consolidated Condensed Balance Sheets on a net basis when a legally enforceable master netting arrangement exists between the counterparty to a derivative contract and us. Additionally, at January 2, 2021, and October 3, 2020, we had $22 million and $16 million, respectively, of net cash collateral with various counterparties where master netting arrangements exist and held no cash collateral.
The following table provides a reconciliation between the beginning and ending balance of marketable debt securities measured at fair value on a recurring basis in the table above that used significant unobservable inputs (Level 3) (in millions): 
Three Months Ended
January 2, 2021December 28, 2019
Balance at beginning of year$53 $52 
Total realized and unrealized gains (losses):
Included in earnings— — 
Included in other comprehensive income (loss)— — 
Purchases5 3 
Issuances— — 
Settlements(7)(6)
Balance at end of period$51 $49 
Total gains (losses) for the three month period included in earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at end of period$— $— 
The following methods and assumptions were used to estimate the fair value of each class of financial instrument:
Derivative Assets and Liabilities: Our derivative financial instruments primarily include exchange-traded and over-the-counter contracts which are further described in Note 10: Derivative Financial Instruments. We record our derivative financial instruments at fair value using quoted market prices, adjusted where necessary for credit and non-performance risk and internal models that use readily observable market inputs as their basis, including current and forward market prices and rates. 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.
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 Condensed Balance Sheets and primarily include certificates of deposit and commercial paper. All other marketable debt securities are included in Other Assets in the Consolidated Condensed Balance Sheets and have maturities generally less than 40 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 condensed financial statements.
The following table sets forth our available-for-sale securities' amortized cost basis, fair value and unrealized gain (loss) by significant investment category (in millions):
January 2, 2021October 3, 2020
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$57 $57 $— $55 $55 $— 
Corporate and asset-backed49 51 2 51 53 2 
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 due to credit or non-credit factors. Losses on debt securities where we have the intent, or will more than likely be required, to sell the security prior to recovery, would be recorded as a direct write-off of amortized cost basis through earnings. Losses on debt securities where we do not have the intent, or would not more than likely be required to sell the security prior to recovery, would be further evaluated to determine whether the loss is credit or non-credit related. Credit-related losses would be recorded through an allowance for credit losses in earnings and non-credit related losses in OCI.
We consider many factors in determining whether a loss is credit-related, including the financial condition and near-term prospects of the issuer, borrower repayment characteristics for asset-backed securities, and our ability and intent to hold the investment for a period of time sufficient to allow for any anticipated recovery. We recognized no direct write-offs or allowances for credit losses in earnings for the three months ended January 2, 2021, and October 3, 2020.
Deferred Compensation Assets: We maintain non-qualified deferred compensation plans for certain executives and other highly compensated employees. Investments are 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 Condensed 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. We did not have any significant measurements of assets or liabilities at fair value on a nonrecurring basis subsequent to their initial recognition during the three months ended January 2, 2021, and October 3, 2020.
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):
January 2, 2021October 3, 2020
Fair ValueCarrying ValueFair ValueCarrying Value
Total debt$13,332 $11,357 $12,982 $11,339 
v3.20.4
Pension and Other Postretirement Benefit Plans
 3 Months Ended
Jan. 02, 2021
Retirement Benefits [Abstract]  
Pension and Other Postretirement Benefits Plans PENSIONS AND OTHER POSTRETIREMENT BENEFIT PLANS
The components of the net periodic cost for the pension and postretirement benefit plans for the three months ended January 2, 2021 and December 28, 2019 are as follows (in millions):
Pension Plans
Three Months Ended
January 2, 2021December 28, 2019
Service cost$— $— 
Interest cost2 10 
Expected return on plan assets— (9)
Amortization of net actuarial loss1 1 
Net periodic cost (credit)$3 $2 
Postretirement Benefit Plans
Three Months Ended
January 2, 2021December 28, 2019
Interest cost$— $— 
Amortization of prior service cost (credit)— — 
Net periodic cost (credit)$— $— 
Net periodic benefit cost, excluding the service cost component, was recorded in the Consolidated Condensed Statements of Income in Other, net.
v3.20.4
Segment Reporting
 3 Months Ended
Jan. 02, 2021
Segment Reporting [Abstract]  
Segment Reporting SEGMENT REPORTING
We operate in four reportable segments: Beef, Pork, Chicken, and Prepared Foods. We measure segment profit as operating income (loss). International/Other primarily includes our foreign operations in Australia, China, Malaysia, Mexico, the Netherlands, South Korea and Thailand, third-party merger and integration costs and corporate overhead related to Tyson New Ventures, LLC.
Beef: Beef includes our operations related to processing live fed cattle and fabricating dressed beef carcasses into primal and sub-primal cuts and case-ready products. Products are marketed domestically to consumer products and 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 consumer products and 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.
Chicken: Chicken includes our domestic operations related to raising and processing live chickens into, and purchasing raw materials for, fresh, frozen and value-added chicken products, as well as sales from allied products. Our value-added chicken products primarily include breaded chicken strips, nuggets, patties, tenders, wings and other ready-to-fix or fully cooked chicken parts. Products are marketed domestically to consumer products and food retailers, foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, convenience stores, 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.
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. This segment includes brands such as Jimmy Dean®, Hillshire Farm®, Ball Park®, Wright®, State Fair®, as well as artisanal brands Aidells®, and Gallo Salame®. Products primarily include ready-to-eat sandwiches, sandwich components such as flame-grilled hamburgers and Philly steaks, pepperoni, bacon, breakfast sausage, turkey, lunchmeat, hot dogs, flour and corn tortilla products, appetizers, snacks, prepared meals, ethnic foods, side dishes, meat dishes, breadsticks and processed meats. Products are marketed domestically to consumer products and food retailers, foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, convenience stores, healthcare facilities, the military and other food processors, as well as to international export markets.
We allocate expenses related to corporate activities to the segments, except for third-party merger and integration costs and corporate overhead related to Tyson New Ventures, LLC, which are included in International/Other. Intersegment transactions, which were at market prices, are included in the segment sales in the table below.
Information on segments and a reconciliation to income before income taxes are as follows (in millions): 
Three Months Ended
January 2, 2021December 28, 2019
Sales:
Beef$3,987 $3,838 
Pork1,439 1,379 
Chicken2,831 3,292 
Prepared Foods2,113 2,140 
International/Other469 498 
Intersegment(379)(332)
Total sales$10,460 $10,815 
Three Months Ended
January 2, 2021December 28, 2019
Operating income (loss):
Beef(a)
$528 $342 
Pork116 191 
Chicken(b)
(216)57 
Prepared Foods266 158 
International/Other11 10 
Total operating income705 758 
Total other expense89 101 
Income before income taxes$616 $657 
(a) Beef segment results for the three months ended January 2, 2021, included a $55 million gain from the recovery of cattle inventory from a cattle supplier that misappropriated Company funds as compared to a $68 million loss recognized in the three months ended December 28, 2019, as further described in Note 1: Accounting Policies.
(b) Chicken segment results for the three months ended January 2, 2021 included a $320 million charge related to the recognition of a legal contingency accrual. The accrual was recorded as a reduction to Sales pursuant to FASB guidance related to accounting for revenue from contracts with customers.
The following tables further disaggregate our sales to customers by major distribution channels (in millions):
Three months ended January 2, 2021
Retail(a)
Foodservice(b)
International(c)
Industrial and Other(d)
IntersegmentTotal
Beef$2,134 $821 $618 $323 $91 $3,987 
Pork432 92 293 342 280 1,439 
Chicken1,436 1,185 152 50 8 2,831 
Prepared Foods1,303 740 31 39 — 2,113 
International/Other— — 469 — — 469 
Intersegment— — — — (379)(379)
Total$5,305 $2,838 $1,563 $754 $— $10,460 
Three months ended December 28, 2019
Retail(a)
Foodservice(b)
International(c)
Industrial and Other(d)
IntersegmentTotal
Beef$1,857 $1,045 $514 $326 $96 $3,838 
Pork400 117 280 360 222 1,379 
Chicken1,389 1,307 161 421 14 3,292 
Prepared Foods1,211 846 37 46 — 2,140 
International/Other— — 498 — — 498 
Intersegment— — — — (332)(332)
Total$4,857 $3,315 $1,490 $1,153 $— $10,815 
(a) Includes sales to consumer products and food retailers, such as grocery retailers, warehouse club stores and internet-based retailers.
(b) Includes sales to foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, convenience stores, healthcare facilities and the military.
(c) Includes sales to international markets for internationally produced products or export sales of domestically produced products.
(d) Includes sales to industrial food processing companies that further process our product to sell to end consumers and any remaining sales not included in the Retail, Foodservice or International categories. For the three months ended January 2, 2021, the Chicken segment included a $320 million reduction in Other due to the recognition of a legal contingency accrual.
v3.20.4
Commitments And Contingencies
 3 Months Ended
Jan. 02, 2021
Commitments and Contingencies Disclosure [Abstract]  
Commitments And Contingencies COMMITMENTS AND CONTINGENCIES
Commitments
We guarantee obligations of certain outside third parties, consisting primarily of grower loans, which are substantially collateralized by the underlying assets. The remaining terms of the underlying obligations cover periods up to 10 years, and the maximum potential amount of future payments as of January 2, 2021, was not significant. The likelihood of material payments under these guarantees is not considered probable. At January 2, 2021 and October 3, 2020, no significant 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 commitment associated with these programs is limited to the fair value of each participating livestock supplier’s net tangible assets. The potential maximum commitment as of January 2, 2021 was approximately $325 million. The total receivables under these programs were $26 million and $29 million at January 2, 2021 and October 3, 2020, respectively. These receivables are included, net of allowance for uncollectible amounts, in Accounts Receivable in our Consolidated Condensed 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 have no allowance for these programs’ estimated uncollectible receivables at January 2, 2021, and October 3, 2020.
When constructing new facilities or making major enhancements to existing facilities, we will occasionally enter into incentive agreements with local government agencies in order to reduce certain state and local tax expenditures. Certain arrangements may require cash to be deposited into a fund to cover future expenditures. These funds are generally considered restricted cash, which is reported in the Consolidated Condensed Balance Sheets in Other Assets, and totaled $29 million and $46 million at January 2, 2021 and October 3, 2020, respectively. Additionally, under certain agreements, we transfer the related assets to various local government entities and receive Industrial Revenue Bonds. We immediately lease the facilities from the local government entities and have an option to re-purchase the facilities for a nominal amount upon tendering the Industrial Revenue Bonds to the local government entities at various predetermined dates. The Industrial Revenue Bonds and the associated obligations for the leases of the facilities offset, and the underlying assets remain in property, plant and equipment. At January 2, 2021, the total amount under these types of arrangements totaled $786 million.
Contingencies
We are involved in various claims and legal proceedings. Each quarter, we 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 in the Company's Consolidated Financial Statements for matters to the extent that we conclude a loss is probable and the financial impact, should an adverse outcome occur, is reasonably estimable. Additionally, for matters in which losses are reasonably possible, no reasonable estimate of the possible loss or range of loss in excess of amounts accrued, if any, can be made because, among other reasons: (i) the proceedings are in preliminary stages; (ii) specific damages have not been sought; (iii) damage claims are unsupported and/or unreasonable; (iv) there is uncertainty as to the outcome of pending appeals or motions; (v) there are significant factual issues to be resolved; or (vi) novel legal issues or unsettled legal theories are being asserted. In our opinion, we have made appropriate and adequate accruals for these matters. Regardless of the manner of resolution, frequently the most significant changes in status of a matter occur over a short time period, often following a lengthy period of little substantive activity. While these accruals reflect the Company’s best estimate of the probable loss for those matters as of the dates of those accruals, the recorded amounts may differ materially from the actual amount of the losses for those matters. 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.
On September 2, 2016, Maplevale Farms, Inc., acting on its own behalf and on behalf of a putative class of direct purchasers of poultry products, filed a class action complaint against us and certain of our poultry subsidiaries, as well as several other poultry processing companies, in the Northern District of Illinois. Subsequent to the filing of this initial complaint, additional lawsuits making similar claims on behalf of putative classes of direct and indirect purchasers were filed in the United States District Court for the Northern District of Illinois. The court consolidated the complaints, for pre-trial purposes, into actions on behalf of three different putative classes: direct purchasers, indirect purchasers/consumers and commercial/institutional indirect purchasers. The consolidated actions are styled In re Broiler Chicken Antitrust Litigation (the “Broiler Antitrust Civil Litigation”). Since the original filing, certain putative class members have opted out of the matter and are proceeding with individual direct actions making similar claims, and others may do so in the future. All opt out complaints have been filed in, or transferred to, the Northern District of Illinois and are proceeding on a coordinated pre-trial basis with the consolidated actions. The operative complaints, which have been amended throughout the litigation, allege, among other things, that beginning in January 2008 the defendants conspired and combined to fix, raise, maintain, and stabilize the price of broiler chickens in violation of United States antitrust laws. The complaints on behalf of the putative classes of indirect purchasers also include causes of action under various state unfair competition laws, consumer protection laws, and unjust enrichment common laws. The plaintiffs also allege that defendants “manipulated and artificially inflated a widely used Broiler price index, the Georgia Dock.” The plaintiffs further allege that the defendants concealed this conduct from the plaintiffs and the members of the putative classes. The plaintiffs seek treble damages, injunctive relief, pre- and post-judgment interest, costs, and attorneys’ fees on behalf of the putative classes. Decisions on class certification and summary judgment motions likely to be filed by defendants are currently expected in late calendar year 2020 and 2021. If necessary, trial will occur after rulings on class certification and any summary judgment motions in calendar year 2022. On April 26, 2019, the plaintiffs notified us that the U.S. Department of Justice (“DOJ”) Antitrust Division issued a grand jury subpoena to them requesting discovery produced by all parties in the civil case. On June 21, 2019, the DOJ filed a motion to intervene and sought a limited stay of discovery in the civil action, which the court granted in part. Subsequently, we received a grand jury subpoena from the DOJ seeking additional documents and information related to the chicken industry. On June 2, 2020 a grand jury for the District of Colorado returned an indictment against four individual executives employed by two other poultry processing companies charging a conspiracy to engage in bid-rigging in violation of federal antitrust laws. On June 10, 2020, we announced that we uncovered information in connection with the grand jury subpoena that we had previously self-reported to the DOJ and have been fully cooperating with the DOJ as part of our application for leniency under the DOJ's Corporate Leniency Program. On October 7, 2020, the DOJ announced a superseding indictment adding charges against six more individuals to charge a total of 10 executives and employees at poultry processing companies for a conspiracy to fix prices and rig bids for broiler chicken products from at least 2012 until at least early 2019. The partial stay previously granted by the court in the civil action was lifted and discovery is continuing. Plaintiffs in the civil action filed complaints expressly referencing the conduct in the DOJ’s indictments or motions arguing that bid-rigging conduct was encompassed by prior complaints. On September 22, 2020, the court ruled that bid-rigging claims will be consolidated into the existing action but bifurcated from the original supply reduction and Georgia Dock claims. The original claims will proceed on their current schedule and the bid-rigging claims, including any related discovery, are stayed until the supply reduction and Georgia Dock claims are resolved.
We have been vigorously contesting the litigation. In January 2021, as a result of the settlement by a co-defendant in the Broiler Antitrust Civil Litigation, we aggressively pursued settlement discussions with the Classes (as defined below). On January 19, 2021, we announced that we had reached agreement to settle all class claims related to the Broiler Antitrust Civil Litigation. Settlement terms were reached with the putative Direct Purchaser Plaintiff Class, the putative Commercial and Institutional Indirect Purchaser Plaintiff Class and the putative End-User Plaintiff Class (collectively, the “Classes”). Under the terms of the settlements, we have agreed to pay the Classes an aggregate amount of $221.5 million in settlement of all outstanding claims brought by the Classes. These settlements are subject to the execution of long-form settlement agreements with the respective parties and court approval thereof, and do not settle claims made by plaintiffs who opted out of the Classes in the Broiler Antitrust Civil Litigation. In the first quarter of fiscal 2021, we recorded an aggregate legal contingency accrual of $320 million for the above-referenced settlements and to resolve the remaining claims brought by opt-out plaintiffs. While we do not admit any liability as part of the settlements, we believe that the settlements were in the best interests of the Company and its shareholders in order to avoid the uncertainty, risk, expense and distraction of protracted litigation.
The Commonwealth of Puerto Rico, on behalf of its citizens, has also initiated a civil lawsuit against us, certain of our subsidiaries, and several other poultry processing companies alleging activities in violation of the Puerto Rican antitrust laws. This lawsuit has been transferred to the Northern District of Illinois for coordinated pre-trial proceedings. On July 15, 2020, the court ruled that Puerto Rico could pursue claims based on direct purchases from defendants, but dismissed all claims based on indirect purchases or Puerto Rico’s parens patriae status. On August 26, 2020, Puerto Rico filed a notice of voluntary dismissal without prejudice and withdrew all claims against defendants. On September 1, 2020, the Office of the Attorney General of the State of New Mexico filed a complaint against us and certain of our poultry subsidiaries, as well as several other poultry processing companies and Agri Stats, Inc., in Santa Fe County, New Mexico. The complaint alleges violations of New Mexico’s antitrust, unfair trade practice, and unjust enrichment laws based on allegations of conspiracies to manipulate the Georgia Dock, exchange information and reduce the supply of broiler chickens.
On March 1, 2017, we received a civil investigative demand (“CID”) from the Office of the Attorney General, Department of Legal Affairs, of the State of Florida. The Florida CID requests information primarily related to possible anticompetitive conduct in connection with the Georgia Dock, a chicken products pricing index formerly published by the Georgia Department of Agriculture. We have been cooperating with the Florida Attorney General’s office. In July 2019, the Attorney General issued a subpoena to the In re Broiler Chicken Antitrust Litigation plaintiffs requesting all information provided to the DOJ.
On August 18, 2019, we were advised that the In re Broiler Chicken Antitrust Litigation plaintiffs had received a CID from the Louisiana Department of Justice Office of the Attorney General Public Protection Division. The Louisiana CID requests all deposition transcripts related to the In re Broiler Chicken Antitrust Litigation.
On August 6, 2020, we received a CID from the Office of the Attorney General of the State of Washington. The Washington CID requests information primarily related to possible anticompetitive conduct or violations of state consumer protection laws in connection with the broiler chicken market. We have been cooperating with the Washington's Attorney General’s office.
On June 18, 2018, a group of plaintiffs acting on their own behalf and on behalf of a putative class of all persons and entities who indirectly purchased pork, filed a class action complaint against us and certain of our pork subsidiaries, as well as several other pork processing companies, in the United States District Court for the District of Minnesota. Subsequent to the filing of the initial complaint, additional lawsuits making similar claims on behalf of putative classes of direct and indirect purchasers were also filed in the same court. The court consolidated the complaints, for pre-trial purposes, into actions on behalf of three different putative classes: direct purchasers, indirect purchasers/consumers and commercial/institutional indirect purchasers. The consolidated actions are styled In re Pork Antitrust Litigation. Since the original filing, a putative class member is proceeding with an individual direct action making similar claims, and others may do so in the future. The individual complaint has been filed in the District of Minnesota and is proceeding on a coordinated pre-trial basis with the consolidated actions. The complaints allege, among other things, that beginning in January 2009 the defendants conspired and combined to fix, raise, maintain, and stabilize the price of pork and pork products in violation of United States antitrust laws. The complaints on behalf of the putative classes of indirect purchasers also include causes of action under various state unfair competition laws, consumer protection laws, and unjust enrichment common laws. The plaintiffs seek treble damages, injunctive relief, pre- and post-judgment interest, costs, and attorneys’ fees on behalf of the putative classes. On August 8, 2019, this matter was dismissed without prejudice. The plaintiffs filed amended complaints on November 6, 2019, in which the plaintiffs again have alleged that the defendants conspired and combined to fix, raise, maintain, and stabilize the price of pork and pork products in violation of state and federal antitrust, consumer protection, and unjust enrichment common laws, and the plaintiffs again are seeking treble damages, injunctive relief, pre- and post-judgment interest, costs, and attorneys’ fees on behalf of the putative classes. The Commonwealth of Puerto Rico, on behalf of its citizens, has also initiated a civil lawsuit against us, certain of our subsidiaries, and several other pork processing companies alleging activities in violation of the Puerto Rican antitrust laws. This lawsuit was transferred to the District of Minnesota and an amended complaint was filed on December 6, 2019. We moved to dismiss the amended complaints, and on October 16, 2020, the court granted the motion with respect to certain state law claims but denied the motion with respect to the plaintiffs’ federal antitrust claims. The parties are now conducting discovery.
On April 23, 2019, a group of plaintiffs, acting on behalf of themselves and on behalf of a putative class of all persons and entities who directly sold to the named defendants any fed cattle for slaughter and all persons who transacted in live cattle futures and/or options traded on the Chicago Mercantile Exchange or another U.S. exchange, filed a class action complaint against us and our beef and pork subsidiary, Tyson Fresh Meats, Inc., as well as other beef packer defendants, in the United States District Court for the Northern District of Illinois. The plaintiffs allege that the defendants engaged in a conspiracy from January 2015 to the present to reduce fed cattle prices in violation of federal antitrust laws, the Grain Inspection, Packers and Stockyards Act of 1921, and the Commodities Exchange Act by periodically reducing their slaughter volumes so as to reduce demand for fed cattle, curtailing their purchases and slaughters of cash-purchased cattle during those same periods, coordinating their procurement practices for fed cattle settled on a cash basis, importing foreign cattle at a loss so as to reduce domestic demand, and closing and idling plants. In addition, the plaintiffs also allege the defendants colluded to manipulate live cattle futures and options traded on the Chicago Mercantile Exchange. The plaintiffs seek, among other things, treble monetary damages, punitive damages, restitution, and pre- and post-judgment interest, as well as declaratory and injunctive relief. This complaint was subsequently voluntarily dismissed and re-filed in the United States District Court for the District of Minnesota. Other similar lawsuits were filed by ranchers in other district courts. All actions seeking relief by ranchers and futures traders have now been transferred to the United States District Court for the District of Minnesota action and are consolidated for pre-trial proceedings as In Re Cattle Antitrust Litigation. Following the filing of defendants’ motion to dismiss this matter, the plaintiffs filed a second amended complaint on October 4, 2019. We moved to dismiss the second
amended complaint, which the court granted on September 28, 2020. On December 28, 2020, the plaintiffs filed an amended complaint.
On April 26, 2019, a group of plaintiffs, acting on behalf of themselves and on behalf of a putative class of indirect purchasers of beef for personal use filed a class action complaint against us, other beef packers, and Agri Stats, Inc., an information services provider, in the United States District Court for the District of Minnesota. The plaintiffs allege that the packer defendants conspired to reduce slaughter capacity by closing or idling plants, limiting their purchases of cash cattle, coordinating their procurement of cash cattle, and reducing their slaughter numbers so as to reduce beef output, all in order to artificially raise prices of beef. The plaintiffs seek, among other things, damages under state antitrust and consumer protection statutes and the common law of approximately 30 states, as well as injunctive relief. The plaintiffs filed a first amended complaint in which the claims against Agri Stats were dismissed and subsequently filed a second amended complaint on November 22, 2019. We moved to dismiss the second amended complaint. The indirect consumer purchaser litigation is styled as Peterson v. JBS USA Food Company Holdings, et al. Additional complaints have been filed on behalf of a putative class of direct purchasers of beef alleging violations of Section 1 of the Sherman Act based on an alleged conspiracy to artificially fix, raise, and stabilize the wholesale price for beef, as well as on behalf of a putative class of commercial and institutional indirect purchasers of beef alleging violations of Section 1 of the Sherman Act, various state antitrust laws and unjust enrichment based on an alleged conspiracy to artificially inflate the price for beef. On September 28, 2020, the court granted our motion to dismiss the complaint. On December 28, 2020, the plaintiffs filed amended complaints.
On August 30, 2019, Judy Jien, Kieo Jibidi and Elaisa Clement, acting on their own behalf and a putative class of non-supervisory production and maintenance employees at chicken processing plants in the continental United States, filed a class action complaint against us and certain of our subsidiaries, as well as several other poultry processing companies, in the United States District Court for the District of Maryland. An additional complaint making similar allegations was also filed by Emily Earnest. The plaintiffs allege that the defendants directly and through a wage survey and benchmarking service exchanged information regarding labor rates in an effort to depress and fix the rates of wages for non-supervisory production and maintenance workers in violation of federal antitrust laws. The plaintiffs seek, among other things, treble monetary damages, punitive damages, restitution, and pre- and post-judgment interest, as well as declaratory and injunctive relief. The court consolidated the Jien and Earnest cases for coordinated pretrial proceedings. Following the consolidation, two additional lawsuits were filed by individuals making similar allegations. The plaintiffs filed an amended consolidated complaint containing additional allegations concerning turkey processing plants and named additional defendants. We moved to dismiss the amended consolidated complaint. On September 16, 2020, the court dismissed claims against Tyson and certain other defendants without prejudice because the complaint improperly grouped together corporate subsidiaries. The court otherwise denied the defendants’ motions to dismiss and sustained claims based on alleged conspiracies to fix wages and exchange information against five other defendants. The court granted the plaintiffs leave to file an amended complaint to address the impermissible group pleading. On October 16, 2020, the plaintiffs filed a second amended complaint reasserting their claims. On December 18, 2020, defendants moved to dismiss certain claims in the second amended complaint.
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 was 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 alleges, among other things, that the respondents engaged in unfair labor practices in connection with the termination of manufacturing operations in the Philippines in 1995 by Aris Philippines, Inc., a former subsidiary of The Hillshire Brands Company. In late 2004, a labor arbiter ruled against the respondents and awarded the complainants PHP3,453,664,710 (approximately U.S. $72 million) in damages and fees. The respondents appealed the labor arbiter's ruling, and it was subsequently set aside by the NLRC in December 2006. Subsequent to the NLRC’s decision, the parties filed numerous appeals, motions for reconsideration and petitions for review, certain of which remained outstanding for several years. While various of those appeals, motions and/or petitions were pending, The Hillshire Brands Company, on June 23, 2014, without admitting liability, filed a settlement motion requesting that the Supreme Court of the Philippines order dismissal with prejudice of all claims against it and certain other respondents in exchange for payments allocated by the court among the complainants in an amount not to exceed PHP342,287,800 (approximately U.S. $7.1 million). Based in part on its finding that the consideration to be paid to the complainants as part of such settlement was insufficient, the Supreme Court of the Philippines denied the respondents’ settlement motion and all motions for reconsideration thereof. The Supreme Court of the Philippines also set aside as premature the NLRC’s December 2006 ruling. As a result, the cases were remanded back before the NLRC to rule on the merits of the case. On December 15, 2016, we learned that the NLRC rendered its decision on November 29, 2016, regarding the respondents’ appeals regarding the labor arbiter’s 2004 ruling in favor of the complainants. The NLRC increased the award for 4,922 of the total 5,984 complainants to PHP14,858,495,937 (approximately U.S. $309 million). However, the NLRC approved a prior settlement reached with the group comprising approximately 18% of the class of 5,984 complainants, pursuant to which The Hillshire Brands Company agreed to pay each settling complainant PHP68,000 (approximately U.S. $1,400). The settlement payment was made on December 21, 2016, to the NLRC, which is responsible for distributing the funds to each settling complainant. On December 27, 2016, the respondents filed motions for reconsideration with the NLRC asking that the award be set aside. The NLRC denied respondents' motions for reconsideration in a resolution received on May 5, 2017 and entered a judgment on the award on July 24, 2017. Each of Aris Philippines, Inc., Sara Lee Corporation and Sara Lee Philippines, Inc. appealed this award and sought an injunction to preclude enforcement of the award to the Philippines Court of Appeals. On November 23, 2017, the Court of Appeals granted a writ of preliminary injunction that precluded execution of the NLRC award during the pendency of the appeal. The Court of Appeals subsequently vacated the NLRC’s award on April 12, 2018. Complainants have filed motions for reconsideration with the Court of Appeals. On November 14, 2018, the Court of Appeals denied claimants’ motions for reconsideration and granted defendants’ motion to release and discharge the preliminary injunction bond. Claimants have since filed petitions for writ of certiorari with the Supreme Court of the Philippines. The Supreme Court has accepted the case for review. We continue to maintain an accrual for this matter.
Various claims have been asserted against the Company, its subsidiaries, and its officers and agents by, and on behalf of, team members who claim to have contracted COVID-19 in our facilities.
v3.20.4
Accounting Policies (Policy)
 3 Months Ended
Jan. 02, 2021
Policy Text Block [Abstract]  
Basis Of Presentation
Basis of Presentation
The consolidated condensed financial statements are unaudited and have been prepared by Tyson Foods, Inc. (“Tyson,” “the Company,” “we,” “us” or “our”). Certain information and accounting policies and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such rules and regulations of the United States Securities and Exchange Commission (the “SEC”). Although we believe the disclosures contained herein are adequate to make the information presented not misleading, these consolidated condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the fiscal year ended October 3, 2020, as amended by Amendment No. 1 on Form 10-K/A filed with the SEC on February 11, 2021 (the “10-K/A”). Preparation of consolidated condensed financial statements requires us to make estimates and assumptions that affect reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated condensed financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
We believe the accompanying consolidated condensed financial statements contain all adjustments, which are of a normal recurring nature, necessary to state fairly our financial position as of January 2, 2021, and the results of operations for the three months ended January 2, 2021, and December 28, 2019. Results of operations and cash flows for the periods presented are not necessarily indicative of results to be expected for the full year.
Consolidation
Consolidation
The consolidated condensed 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.
Use of Estimates, Policy [Policy Text Block]
Use of Estimates
The consolidated condensed 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 condensed financial statements and accompanying notes. Actual results could differ from those estimates.
Recently Issued Accounting Pronouncements
Recently Issued Accounting Pronouncements
In August 2020, the Financial Accounting Standards Board (“FASB”) issued guidance that simplifies the accounting for debt with conversion options, revises the criteria for applying the derivative scope exception for contracts in an entity’s own equity, and improves the consistency for the calculation of earnings per share. The guidance is effective for annual reporting periods and interim periods within those annual reporting periods beginning after December 15, 2021, our fiscal 2023. Early adoption is permitted for annual periods and interim periods within those annual periods beginning after December 15, 2020, our fiscal 2022. We are currently evaluating the impact this guidance will have on our consolidated financial statements.
In March 2020, the FASB issued guidance providing optional expedients and exceptions to account for the effects of reference rate reform to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued. The optional guidance, which became effective on March 12, 2020 and can be applied through December 21, 2022, has not impacted our consolidated financial statements. The Company has various contracts that reference LIBOR and is assessing how this standard may be applied to specific contract modifications through December 31, 2022.
In December 2019, the FASB issued guidance that simplifies the accounting for income taxes by removing certain exceptions to general principles in Topic 740 and clarifies other general principles by adding certain requirements to Topic 740. The guidance is effective for annual reporting periods and interim periods within those annual reporting periods beginning after December 15, 2020, our fiscal 2022. Early adoption is permitted for periods for which financial statements have not yet been issued, beginning our fiscal 2020. An entity that elects to early adopt the amendments in an interim period should reflect any adjustments as of the beginning of the annual period that includes that interim period. The application of the guidance requires various transition methods depending on the specific amendment. We are currently evaluating the impact this guidance will have on our consolidated financial statements.
Changes in Accounting Principles
Changes in Accounting Principles
In June 2016, the FASB issued guidance that provides more decision-useful information about the expected credit losses on financial instruments and changes the loss impairment methodology. The guidance is effective for annual reporting periods and interim periods within those annual reporting periods beginning after December 15, 2019, our fiscal 2021. For available-for-sale debt securities previously impaired, the amendments should be applied prospectively; otherwise, the modified-retrospective transition method should be applied. We adopted this guidance in the first quarter of fiscal 2021 using the modified retrospective transition method. Prior periods were not adjusted and, based on our implementation assessment, no cumulative-effect adjustment was made to the opening balance of retained earnings. The adoption of this standard did not have a material impact on our consolidated financial statements. For further description of our policy for available-for-sale debt securities, refer to Note 11: Fair Value Measurements.
v3.20.4
Inventories (Policy)
 3 Months Ended
Jan. 02, 2021
Inventory Disclosure [Abstract]  
Inventory, Policy INVENTORIESProcessed products, livestock, and supplies and other are valued at the lower of cost or net realizable value. Cost includes purchased raw materials, live purchase costs, growout costs (primarily feed, livestock grower pay and catch and haul costs), labor and manufacturing, and production overhead, which are related to the purchase and production of inventories.
v3.20.4
Accounting Policies Changes in Accounting Principles (Tables)
 3 Months Ended
Jan. 02, 2021
Accounting Policies [Abstract]  
Schedule of Error Corrections and Prior Period Adjustments
The following tables represent revisions to our consolidated condensed financial information for the first quarter of fiscal 2020:
First Quarterin millions, except per share data
Quarter ended December 28, 2019
As originally reportedAdjustmentsAs revised
Consolidated Statement of Income:
Selling, General and Administrative$614 $68 $682 
Operating Income826 (68)758 
Income before Income Taxes725 (68)657 
Income Tax Expense (Benefit)164 (16)148 
Net Income561 (52)509 
Net Income Attributable to Tyson557 (52)505 
Net Income Per Share Attributable to Tyson
Class A Basic$1.56 $(0.14)$1.42 
Class B Basic$1.40 $(0.13)$1.27 
Diluted$1.52 $(0.14)$1.38 
Consolidated Statement of Comprehensive Income:
Net Income$561 $(52)$509 
Comprehensive Income599 (52)547 
Comprehensive Income Attributable to Tyson595 (52)543 
As of December 28, 2019
As originally reportedAdjustmentsAs revised
Consolidated Balance Sheet:
Inventories$4,304 $(247)$4,057 
Total Current Assets7,193 (247)6,946 
Total Assets33,811 (247)33,564 
Deferred Income Taxes2,369 (63)2,306 
Retained Earnings(a)
14,178 (184)13,994 
Total Tyson Shareholders' Equity14,419 (184)14,235 
Total Shareholders' Equity14,566 (184)14,382 
Total Liabilities and Shareholders' Equity33,811 (247)33,564 
Quarter ended December 28, 2019
As originally reportedAdjustmentsAs revised
Consolidated Statement of Cash Flows:
Net Income$561 $(52)$509 
Deferred income taxes3 (16)(13)
Net changes in operating assets and liabilities15 68 83 
v3.20.4
Inventories (Tables)
 3 Months Ended
Jan. 02, 2021
Inventory Disclosure [Abstract]  
Schedule of Inventory
The following table reflects the major components of inventory (in millions):
January 2, 2021October 3, 2020
Processed products$2,142 $2,223 
Livestock1,068 977 
Supplies and other705 659 
Total inventory$3,915 $3,859 
v3.20.4
Property, Plant And Equipment (Tables)
 3 Months Ended
Jan. 02, 2021
Property, Plant and Equipment, Net [Abstract]  
Property, Plant And Equipment And Accumulated Depreciation
The major categories of property, plant and equipment and accumulated depreciation are as follows (in millions): 
January 2, 2021October 3, 2020
Land$208 $196 
Buildings and leasehold improvements5,030 4,961 
Machinery and equipment9,112 9,013 
Land improvements and other424 420 
Buildings and equipment under construction1,079 991 
15,853 15,581 
Less accumulated depreciation8,189 7,985 
Net Property, Plant and Equipment$7,664 $7,596 
v3.20.4
Other Current Liabilities (Tables)
 3 Months Ended
Jan. 02, 2021
Other Liabilities, Current [Abstract]  
Schedule Of Other Current Liabilities
Other current liabilities are as follows (in millions):
January 2, 2021October 3, 2020
Accrued salaries, wages and benefits$655 $823 
Taxes payable407 152 
Accrued current legal contingencies339 18 
Other885 817 
Total other current liabilities$2,286 $1,810 
v3.20.4
Debt (Tables)
 3 Months Ended
Jan. 02, 2021
Debt Instruments [Abstract]  
Schedule of Major Components Of Debt
The major components of debt are as follows (in millions):
January 2, 2021October 3, 2020
Revolving credit facility$— $— 
Commercial paper— — 
Senior notes:
2.25% Notes due August 2021500 500 
4.50% Senior notes due June 20221,000 1,000 
3.90% Senior notes due September 2023400 400 
3.95% Notes due August 20241,250 1,250 
4.00% Notes due March 2026 (“2026 Notes”)800 800 
3.55% Notes due June 20271,350 1,350 
7.00% Notes due January 202818 18 
4.35% Notes due March 2029 (“2029 Notes”)1,000 1,000 
6.13% Notes due November 2032160 160 
4.88% Notes due August 2034500 500 
5.15% Notes due August 2044500 500 
4.55% Notes due June 2047750 750 
5.10% Notes due September 2048 (“2048 Notes”)1,500 1,500 
Discount on senior notes(44)(45)
Term loan:
Term loan facility due March 2022 (1.69% at 1/2/2021)1,500 1,500 
Other231 216 
Unamortized debt issuance costs(58)(60)
Total debt11,357 11,339 
Less current debt566 548 
Total long-term debt$10,791 $10,791 
v3.20.4
Equity (Tables)
 3 Months Ended
Jan. 02, 2021
Equity [Abstract]  
Schedule of Share Repurchase A summary of share repurchases of our Class A stock is as follows (in millions):
Three Months Ended
January 2, 2021December 28, 2019
SharesDollarsSharesDollars
Shares repurchased:
Under share repurchase program— $— 1.1 $100 
To fund certain obligations under equity compensation plans0.3 17 0.4 32 
Total share repurchases0.3 $17 1.5 $132 
v3.20.4
Earnings Per Share (Tables)
 3 Months Ended
Jan. 02, 2021
Earnings Per Share [Abstract]  
Schedule Of Earnings Per Share, Basic And Diluted
The following table sets forth the computation of basic and diluted earnings per share (in millions, except per share data): 
Three Months Ended
January 2, 2021December 28, 2019
Numerator:
Net income$472 $509 
Less: Net income attributable to noncontrolling interests5 4 
Net income attributable to Tyson467 505 
Less dividends declared:
Class A 138 137 
Class B 30 29 
Undistributed earnings$299 $339 
Class A undistributed earnings$246 $279 
Class B undistributed earnings53 60 
Total undistributed earnings$299 $339 
Denominator:
Denominator for basic earnings per share:
Class A weighted average shares293 293 
Class B weighted average shares, and shares under the if-converted method for diluted earnings per share70 70 
Effect of dilutive securities:
Stock options, restricted stock and performance units2 4 
Denominator for diluted earnings per share – adjusted weighted average shares and assumed conversions365 367 
Net income per share attributable to Tyson:
Class A basic$1.31 $1.42 
Class B basic$1.18 $1.27 
Diluted$1.28 $1.38 
Dividends Declared Per Share:
Class A$0.470 $0.465 
Class B$0.423 $0.419 
v3.20.4
Derivative Financial Instruments (Tables)
 3 Months Ended
Jan. 02, 2021
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Schedule of Derivative Instruments [Table Text Block]
We had the following aggregated outstanding notional amounts related to our derivative financial instruments:
in millions, except soybean meal tonsMetricJanuary 2, 2021October 3, 2020
Commodity:
CornBushels5 43 
Soybean MealTons579,833 428,300 
Live CattlePounds165 234 
Lean HogsPounds254283
Foreign CurrencyUnited States dollar$412 $536 
Derivative Instruments, Gain (Loss) [Table Text Block]
The following table sets forth the pretax impact of the cash flow, fair value and undesignated derivative instruments in the Consolidated Condensed Statements of Income (in millions):
Consolidated Condensed
Statements of Income Classification		Three Months Ended
January 2, 2021December 28, 2019
Cost of SalesGain (Loss) on cash flow hedges reclassified from OCI to Earnings:
Commodity contracts$(1)$(2)
Gain (Loss) on fair value hedges:
Commodity contracts (a) (2)16 
Gain (Loss) on derivatives not designated as hedging instruments:
Commodity contracts98 29 
Total$95 $43 
Interest ExpenseGain (Loss) on cash flow hedges reclassified from OCI to Earnings:
Interest rate contracts$— $(1)
Other, netGain (Loss) on derivatives not designated as hedging instruments:
Foreign exchange contracts$1 $4 
Schedule of Income Statement Items Impacted by Derivatives [Table Text Block]
The following table sets forth the total amounts of each income and expense line item presented in the Consolidated Condensed Statements of Income in which the effects of hedges are recorded (in millions):
Consolidated Condensed
Statements of Income Classification		Three Months Ended
January 2, 2021December 28, 2019
Cost of Sales$9,283 $9,375 
Interest Expense110 120 
Other, net(19)(16)
Designated as Hedging Instrument [Member] | Fair Value Hedging [Member]  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] The carrying amount of fair value hedge (assets) liabilities as of January 2, 2021 and October 3, 2020 were as follows (in millions):
Consolidated Condensed Balance Sheets ClassificationJanuary 2, 2021October 3, 2020
Inventory$8 $6 
v3.20.4
Fair Value Measurements (Tables)
 3 Months Ended
Jan. 02, 2021
Fair Value Disclosures [Abstract]  
Schedule Of Assets And Liabilities Measured At Fair Value On A Recurring Basis
The following tables set forth by level within the fair value hierarchy our financial assets and liabilities accounted for at fair value on a recurring basis according to the valuation techniques we used to determine their fair values (in millions): 
January 2, 2021Level 1Level 2Level 3Netting (a)Total
Other Current Assets:
Derivative financial instruments:
Designated as hedges$— $1 $— $— $1 
Undesignated — 210 — (146)64 
Other Assets:
Available-for-sale securities:
Non-current— 57 51 — 108 
Deferred compensation assets11 373 — — 384 
Total assets$11 $641 $51 $(146)$557 
Other Current Liabilities:
Derivative financial instruments:
Designated as hedges$— $9 $— $(9)$— 
Undesignated — 98 — (82)16 
Total liabilities$— $107 $— $(91)$16 
October 3, 2020Level 1Level 2Level 3Netting (a)Total
Other Current Assets:
Derivative financial instruments:
Designated as hedges$— $4 $— $(2)$2 
Undesignated — 96 — (51)45 
Other Assets:
Available-for-sale securities:
Non-current— 55 53 — 108 
Deferred compensation assets19 336 — — 355 
Total assets$19 $491 $53 $(53)$510 
Other Current Liabilities:
Derivative financial instruments:
Designated as hedges$— $10 $— $(10)$— 
Undesignated — 74 — (59)15 
Total liabilities$— $84 $— $(69)$15 
(a) Our derivative assets and liabilities are presented in our Consolidated Condensed Balance Sheets on a net basis when a legally enforceable master netting arrangement exists between the counterparty to a derivative contract and us. Additionally, at January 2, 2021, and October 3, 2020, we had $22 million and $16 million, respectively, of net cash collateral with various counterparties where master netting arrangements exist 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 marketable debt securities measured at fair value on a recurring basis in the table above that used significant unobservable inputs (Level 3) (in millions): 
Three Months Ended
January 2, 2021December 28, 2019
Balance at beginning of year$53 $52 
Total realized and unrealized gains (losses):
Included in earnings— — 
Included in other comprehensive income (loss)— — 
Purchases5 3 
Issuances— — 
Settlements(7)(6)
Balance at end of period$51 $49 
Total gains (losses) for the three month period included in earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at end of period$— $— 
Schedule Of Available For Sale Securities
The following table sets forth our available-for-sale securities' amortized cost basis, fair value and unrealized gain (loss) by significant investment category (in millions):
January 2, 2021October 3, 2020
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$57 $57 $— $55 $55 $— 
Corporate and asset-backed49 51 2 51 53 2 
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):
January 2, 2021October 3, 2020
Fair ValueCarrying ValueFair ValueCarrying Value
Total debt$13,332 $11,357 $12,982 $11,339 
v3.20.4
Pension and Other Postretirement Benefit Plans (Tables)
 3 Months Ended
Jan. 02, 2021
Retirement Benefits [Abstract]  
Schedule of Net Benefit Costs
The components of the net periodic cost for the pension and postretirement benefit plans for the three months ended January 2, 2021 and December 28, 2019 are as follows (in millions):
Pension Plans
Three Months Ended
January 2, 2021December 28, 2019
Service cost$— $— 
Interest cost2 10 
Expected return on plan assets— (9)
Amortization of net actuarial loss1 1 
Net periodic cost (credit)$3 $2 
Postretirement Benefit Plans
Three Months Ended
January 2, 2021December 28, 2019
Interest cost$— $— 
Amortization of prior service cost (credit)— — 
Net periodic cost (credit)$— $— 
v3.20.4
Segment Reporting (Tables)
 3 Months Ended
Jan. 02, 2021
Segment Reporting [Abstract]  
Segment Reporting Information, By Segment
Information on segments and a reconciliation to income before income taxes are as follows (in millions): 
Three Months Ended
January 2, 2021December 28, 2019
Sales:
Beef$3,987 $3,838 
Pork1,439 1,379 
Chicken2,831 3,292 
Prepared Foods2,113 2,140 
International/Other469 498 
Intersegment(379)(332)
Total sales$10,460 $10,815 
Three Months Ended
January 2, 2021December 28, 2019
Operating income (loss):
Beef(a)
$528 $342 
Pork116 191 
Chicken(b)
(216)57 
Prepared Foods266 158 
International/Other11 10 
Total operating income705 758 
Total other expense89 101 
Income before income taxes$616 $657 
(a) Beef segment results for the three months ended January 2, 2021, included a $55 million gain from the recovery of cattle inventory from a cattle supplier that misappropriated Company funds as compared to a $68 million loss recognized in the three months ended December 28, 2019, as further described in Note 1: Accounting Policies.
(b) Chicken segment results for the three months ended January 2, 2021 included a $320 million charge related to the recognition of a legal contingency accrual. The accrual was recorded as a reduction to Sales pursuant to FASB guidance related to accounting for revenue from contracts with customers.
Disaggregation of Revenue, By Segment and Distribution Channel
The following tables further disaggregate our sales to customers by major distribution channels (in millions):
Three months ended January 2, 2021
Retail(a)
Foodservice(b)
International(c)
Industrial and Other(d)
IntersegmentTotal
Beef$2,134 $821 $618 $323 $91 $3,987 
Pork432 92 293 342 280 1,439 
Chicken1,436 1,185 152 50 8 2,831 
Prepared Foods1,303 740 31 39 — 2,113 
International/Other— — 469 — — 469 
Intersegment— — — — (379)(379)
Total$5,305 $2,838 $1,563 $754 $— $10,460 
Three months ended December 28, 2019
Retail(a)
Foodservice(b)
International(c)
Industrial and Other(d)
IntersegmentTotal
Beef$1,857 $1,045 $514 $326 $96 $3,838 
Pork400 117 280 360 222 1,379 
Chicken1,389 1,307 161 421 14 3,292 
Prepared Foods1,211 846 37 46 — 2,140 
International/Other— — 498 — — 498 
Intersegment— — — — (332)(332)
Total$4,857 $3,315 $1,490 $1,153 $— $10,815 
(a) Includes sales to consumer products and food retailers, such as grocery retailers, warehouse club stores and internet-based retailers.
(b) Includes sales to foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, convenience stores, healthcare facilities and the military.
(c) Includes sales to international markets for internationally produced products or export sales of domestically produced products.
(d) Includes sales to industrial food processing companies that further process our product to sell to end consumers and any remaining sales not included in the Retail, Foodservice or International categories. For the three months ended January 2, 2021, the Chicken segment included a $320 million reduction in Other due to the recognition of a legal contingency accrual.
v3.20.4
Accounting Policies Changes in Accounting Principles (Details) - USD ($)
$ / shares in Units, $ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Oct. 03, 2020
Sep. 28, 2019
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Selling, General and Administrative $ 472 $ 682    
Operating Income (Loss) 705 758    
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest 616 657    
Income Tax Expense 144 148    
Net Income 472 509    
Net income attributable to Tyson $ 467 $ 505    
Diluted (USD per share) $ 1.28 $ 1.38    
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest $ 549 $ 547    
Comprehensive Income (Loss), Net of Tax, Attributable to Parent 544 543    
Inventory, Net 3,915 4,057 $ 3,859  
Assets, Current 8,544 6,946 7,598  
Assets 35,458 33,564 34,456  
Deferred Income Taxes 2,331 2,306 2,317  
Retained earnings (15,399) (13,994) (15,100)  
Total Tyson Shareholders’ Equity 15,638 14,235 15,254  
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest 15,781 14,382 15,386  
Liabilities and Equity 35,458 33,564 34,456  
Deferred income taxes 17 (13)    
Increase (Decrease) in Operating Capital $ 580 $ 83    
Class A [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Basic (USD per share) $ 1.31 $ 1.42    
Total Tyson Shareholders’ Equity $ 38 $ 38 38 $ 38
Class B [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Basic (USD per share) $ 1.18 $ 1.27    
Total Tyson Shareholders’ Equity $ 7 $ 7 $ 7 7
Previously Reported [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Selling, General and Administrative   614    
Operating Income (Loss)   826    
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest   725    
Income Tax Expense   164    
Net Income   561    
Net income attributable to Tyson   $ 557    
Diluted (USD per share)   $ 1.52    
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest   $ 599    
Comprehensive Income (Loss), Net of Tax, Attributable to Parent   595    
Inventory, Net   4,304    
Assets, Current   7,193    
Assets   33,811    
Deferred Income Taxes   2,369    
Retained earnings   (14,178)    
Total Tyson Shareholders’ Equity   14,419    
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest   14,566    
Liabilities and Equity   33,811    
Deferred income taxes   3    
Increase (Decrease) in Operating Capital   $ 15    
Previously Reported [Member] | Class A [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Basic (USD per share)   $ 1.56    
Previously Reported [Member] | Class B [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Basic (USD per share)   $ 1.40    
Revision of Prior Period, Adjustment [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Selling, General and Administrative   $ 68    
Operating Income (Loss)   (68)    
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest   (68)    
Income Tax Expense   (16)    
Net Income   (52)    
Net income attributable to Tyson   $ (52)    
Diluted (USD per share)   $ (0.14)    
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest   $ (52)    
Comprehensive Income (Loss), Net of Tax, Attributable to Parent   (52)    
Inventory, Net   (247)    
Assets, Current   (247)    
Assets   (247)    
Deferred Income Taxes   (63)    
Retained earnings   184   $ (132)
Total Tyson Shareholders’ Equity   (184)    
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest   (184)    
Liabilities and Equity   (247)    
Deferred income taxes   (16)    
Increase (Decrease) in Operating Capital   $ 68    
Revision of Prior Period, Adjustment [Member] | Class A [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Basic (USD per share)   $ (0.14)    
Revision of Prior Period, Adjustment [Member] | Class B [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Basic (USD per share)   $ (0.13)    
v3.20.4
Inventories (Schedule Of Inventory) (Details) - USD ($)
$ in Millions
Jan. 02, 2021
Oct. 03, 2020
Dec. 28, 2019
Inventory Disclosure [Abstract]      
Processed products $ 2,142 $ 2,223  
Livestock 1,068 977  
Supplies and other 705 659  
Total inventory $ 3,915 $ 3,859 $ 4,057
v3.20.4
Property, Plant And Equipment (Details) - USD ($)
$ in Millions
Jan. 02, 2021
Oct. 03, 2020
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, gross $ 15,853 $ 15,581
Less accumulated depreciation 8,189 7,985
Net Property, Plant and Equipment 7,664 7,596
Land    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, gross 208 196
Buildings and leasehold improvements    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, gross 5,030 4,961
Machinery and equipment    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, gross 9,112 9,013
Land improvements and other    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, gross 424 420
Buildings and equipment under construction    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, gross $ 1,079 $ 991
v3.20.4
Restructuring and Related Charges Restructuring (Details) - USD ($)
$ in Millions
 3 Months Ended 12 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Oct. 03, 2020
Restructuring Cost and Reserve [Line Items]      
Restructuring and Related Cost, Incurred Cost   $ (52)  
Restructuring Reserve $ 23   $ 37
Payments for Restructuring $ 14    
Cost of Sales      
Restructuring Cost and Reserve [Line Items]      
Restructuring and Related Cost, Incurred Cost   (9)  
Selling, General and Administrative Expenses [Member]      
Restructuring Cost and Reserve [Line Items]      
Restructuring and Related Cost, Incurred Cost   $ (43)  
Employee Severance [Member] | Restructuring Program [Member]      
Restructuring Cost and Reserve [Line Items]      
Restructuring and Related Cost, Incurred Cost     $ (60)
v3.20.4
Other Current Liabilities (Schedule of Other Current Liabilities) (Details) - USD ($)
$ in Millions
Jan. 02, 2021
Oct. 03, 2020
Other Liabilities, Current [Abstract]    
Accrued salaries, wages and benefits $ 655 $ 823
Taxes Payable 407 152
Loss Contingency Accrual 339 18
Other 885 817
Total other current liabilities $ 2,286 $ 1,810
v3.20.4
Debt (Major Components Of Debt) (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Oct. 03, 2020
Debt Instrument [Line Items]    
Document Period End Date Jan. 02, 2021  
Discount on senior notes $ (44) $ (45)
Other 231 216
Unamortized debt issuance costs (58) (60)
Total debt 11,357 11,339
Less current debt 566 548
Less current debt 10,791 10,791
Revolving Credit Facility [Member]    
Debt Instrument [Line Items]    
Revolving credit facility 0 0
Commercial paper    
Debt Instrument [Line Items]    
Commercial paper $ 0 0
Term Loan Facility Due March 2022 [Member]    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 1.69%  
Long-term Debt, Gross $ 1,500 1,500
2.25% Notes due August 2021    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 2.25%  
Long-term Debt, Gross $ 500 500
4.50% Senior notes due June 2022    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 4.50%  
Long-term Debt, Gross $ 1,000 1,000
3.90% Senior notes due September 2023    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 3.90%  
Long-term Debt, Gross $ 400 400
3.95% Notes due August 2024    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 3.95%  
Long-term Debt, Gross $ 1,250 1,250
4.00% Notes due March 2026 (“2026 Notes”)    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 4.00%  
Long-term Debt, Gross $ 800 800
3.55% Notes due June 2027    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 3.55%  
Long-term Debt, Gross $ 1,350 1,350
7.00% Notes due January 2028    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 7.00%  
Long-term Debt, Gross $ 18 18
4.35% Notes due March 2029 (“2029 Notes”)    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 4.35%  
Long-term Debt, Gross $ 1,000 1,000
6.13% Notes due November 2032    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 6.13%  
Long-term Debt, Gross $ 160 160
4.88% Notes due August 2034    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 4.88%  
Long-term Debt, Gross $ 500 500
5.15% Notes due August 2044    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 5.15%  
Long-term Debt, Gross $ 500 500
4.55% Notes due June 2047    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 4.55%  
Long-term Debt, Gross $ 750 750
5.10% Notes due September 2048 (“2048 Notes”)    
Debt Instrument [Line Items]    
Debt Instrument, Interest Rate, Stated Percentage 5.10%  
Long-term Debt, Gross $ 1,500 $ 1,500
v3.20.4
Debt (Narrative) (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Oct. 03, 2020
Mar. 28, 2020
Debt Instrument [Line Items]        
Document Period End Date Jan. 02, 2021      
Repayments of Commercial Paper $ 0 $ 4,855    
Repayments of Long-term Lines of Credit 0 $ 250    
Debt Instrument, Unamortized Discount 44   $ 45  
Term Loan Facility Due March 2022 [Member]        
Debt Instrument [Line Items]        
Debt Instrument, Unused Borrowing Capacity, Amount       $ 1,500
Long-term Debt, Gross $ 1,500   1,500  
Debt Instrument, Interest Rate, Stated Percentage 1.69%      
Revolving Credit Facility [Member]        
Debt Instrument [Line Items]        
Maximum borrowing capacity $ 1,750      
Amount available for borrowing under credit facility 1,750      
Revolving credit facility 0   0  
Standby Letters of Credit [Member]        
Debt Instrument [Line Items]        
Letters of Credit Outstanding, Amount 0      
Bilateral Letters Of Credit [Member]        
Debt Instrument [Line Items]        
Letters of Credit Outstanding, Amount 101      
Commercial paper        
Debt Instrument [Line Items]        
Maximum borrowing capacity 1,000      
Commercial paper $ 0   $ 0  
v3.20.4
Equity (Schedule of Share Repurchases) (Details) - USD ($)
shares in Millions, $ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Class of Stock [Line Items]    
Payments for Repurchase of Common Stock $ 17 $ 132
Class A [Member]    
Class of Stock [Line Items]    
Treasury Stock, Shares, Acquired 0.3 1.5
Payments for Repurchase of Common Stock $ 17 $ 132
Under share repurchase program | Class A [Member]    
Class of Stock [Line Items]    
Treasury Stock, Shares, Acquired 0.0 1.1
Payments for Repurchase of Common Stock $ 0 $ 100
To fund certain obligations under equity compensation plans | Class A [Member]    
Class of Stock [Line Items]    
Treasury Stock, Shares, Acquired 0.3 0.4
Payments for Repurchase of Common Stock $ 17 $ 32
v3.20.4
Equity (Narrative) (Details)
shares in Millions
Jan. 02, 2021
shares
Class A [Member]  
Class of Stock [Line Items]  
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased 18.9
v3.20.4
Income Taxes (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Oct. 03, 2020
Income Tax Disclosure [Abstract]      
Effective tax rate for continuing operations 23.40% 22.50%  
Unrecognized tax benefits $ 163   $ 165
v3.20.4
Earnings Per Share (Schedule Of Earnings Per Share, Basic And Diluted) (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Earnings Per Share, Basic and Diluted [Line Items]    
Net Income $ 472 $ 509
Less: Net Income Attributable to Noncontrolling Interests 5 4
Net income attributable to Tyson 467 505
Undistributed earnings $ 299 $ 339
Stock options, restricted stock and performance units 2 4
Denominator for diluted earnings per share – adjusted weighted average shares and assumed conversions 365 367
Diluted $ 1.28 $ 1.38
Class A [Member]    
Earnings Per Share, Basic and Diluted [Line Items]    
Less dividends declared: $ 138 $ 137
Undistributed earnings $ 246 $ 279
Weighted average number of shares outstanding - Basic 293 293
Net Income Per Share Attributable to Tyson - Basic $ 1.31 $ 1.42
Common Stock, Dividends, Per Share, Declared $ 0.470 $ 0.465
Class B [Member]    
Earnings Per Share, Basic and Diluted [Line Items]    
Less dividends declared: $ 30 $ 29
Undistributed earnings $ 53 $ 60
Weighted average number of shares outstanding - Basic 70 70
Net Income Per Share Attributable to Tyson - Basic $ 1.18 $ 1.27
Common Stock, Dividends, Per Share, Declared $ 0.423 $ 0.419
v3.20.4
Earnings Per Share (Narrative) (Details)
shares in Millions
 3 Months Ended
Jan. 02, 2021
Classes
shares
Dec. 28, 2019
shares
Earnings Per Share, Basic and Diluted [Line Items]    
Number Of Classes Of Common Stock | Classes 2  
Percentage amount of per share cash dividends paid to holders of Class B stock that cannot exceed paid to holders of Class A stock 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 1.0  
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  
Share-based Payment Arrangement [Member]    
Earnings Per Share, Basic and Diluted [Line Items]    
Antidilutive securities excluded from computation of earnings per share, shares | shares 6 2
v3.20.4
Derivative Financial Instruments (Aggregate Outstanding Notionals) (Details)
lb in Millions, bu in Millions, $ in Millions
Jan. 02, 2021
USD ($)
lb
T
bu
Oct. 03, 2020
USD ($)
T
lb
bu
Corn (in bushels)    
Derivative [Line Items]    
Derivative, Nonmonetary Notional Amount | bu 5 43
Soy Meal (in tons)    
Derivative [Line Items]    
Derivative, Nonmonetary Notional Amount | T 579,833 428,300
Live Cattle (in pounds)    
Derivative [Line Items]    
Derivative, Nonmonetary Notional Amount 165 234
Lean Hogs (in pounds)    
Derivative [Line Items]    
Derivative, Nonmonetary Notional Amount 254 283
Foreign Currency [Member]    
Derivative [Line Items]    
Derivative, Notional Amount | $ $ 412 $ 536
v3.20.4
Derivative Financial Instruments (Pretax Impact Of Cash Flow Hedge Derivative Instruments On The Consolidated Statements Of Income) (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Derivative [Line Items]    
Gain/(Loss) Recognized in OCI on Derivatives $ 0 $ 0
v3.20.4
Derivative Financial Instruments (Pretax Impact Of Fair Value Hedge Derivative Instruments On The Consolidated Statements of Income) (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Oct. 03, 2020
Cost of Sales      
Derivative [Line Items]      
Derivative, Gain (Loss) on Derivative, Net $ 95 $ 43  
Fair Value Hedging [Member]      
Derivative [Line Items]      
Derivative Assets (Liabilities), at Fair Value, Net $ 8   $ 6
v3.20.4
Derivative Financial Instruments (Pretax Impact Of Undesignated Derivative Instruments On The Consolidated Statements Of Income) (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Derivative [Line Items]    
Cost of Sales $ 9,283 $ 9,375
Other Nonoperating Income (Expense) (19) (16)
Interest expense 110 120
Cost of Sales    
Derivative [Line Items]    
Derivative, Gain (Loss) on Derivative, Net 95 43
Not Designated as Hedging Instrument | Commodity contracts | Cost of Sales    
Derivative [Line Items]    
Derivative, Gain (Loss) on Derivative, Net 98 29
Not Designated as Hedging Instrument | Foreign exchange contracts | Other income/expense    
Derivative [Line Items]    
Derivative, Gain (Loss) on Derivative, Net 1 4
Fair Value Hedging [Member] | Commodity contracts | Cost of Sales    
Derivative [Line Items]    
Derivative, Gain (Loss) on Derivative, Net (2) 16
Cash Flow Hedging [Member] | Commodity contracts | Cost of Sales    
Derivative [Line Items]    
Derivative, Gain (Loss) on Derivative, Net (1) (2)
Cash Flow Hedging [Member] | Interest Rate Contract [Member] | Interest Expense [Member]    
Derivative [Line Items]    
Derivative, Gain (Loss) on Derivative, Net $ 0 $ (1)
v3.20.4
Derivative Financial Instruments (Narrative) (Details)
$ in Millions
 3 Months Ended
Jan. 02, 2021
USD ($)
Treasury Rate Locks  
Derivative [Line Items]  
Cash Flow Hedge Gain (Loss) to be Reclassified Over Life of Forecasted Fixed-Rate Debt $ 16
v3.20.4
Fair Value Measurements (Schedule Of Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Details) - USD ($)
$ in Millions
Jan. 02, 2021
Oct. 03, 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Liability, Collateral, Right to Reclaim Cash, Offset $ 22 $ 16
Fair Value, Recurring [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Asset, Netting (146) (53)
Total assets 557 510
Derivative Liability, Netting (91) (69)
Total liabilities 16 15
Fair Value, Recurring [Member] | Level 1    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Total assets 11 19
Total liabilities 0 0
Fair Value, Recurring [Member] | Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Total assets 641 491
Total liabilities 107 84
Fair Value, Recurring [Member] | Level 3    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Total assets 51 53
Total liabilities 0 0
Other Current Assets [Member] | Fair Value, Recurring [Member] | Designated as hedges    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Assets 1 2
Derivative Asset, Netting 0 (2)
Other Current Assets [Member] | Fair Value, Recurring [Member] | Undesignated    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Assets 64 45
Derivative Asset, Netting (146) (51)
Other Current Assets [Member] | Fair Value, Recurring [Member] | Level 1 | Designated as hedges    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Assets 0 0
Other Current Assets [Member] | Fair Value, Recurring [Member] | Level 1 | Undesignated    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Assets 0 0
Other Current Assets [Member] | Fair Value, Recurring [Member] | Level 2 | Designated as hedges    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Assets 1 4
Other Current Assets [Member] | Fair Value, Recurring [Member] | Level 2 | Undesignated    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Assets 210 96
Other Current Assets [Member] | Fair Value, Recurring [Member] | Level 3 | Designated as hedges    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Assets 0 0
Other Current Assets [Member] | Fair Value, Recurring [Member] | Level 3 | Undesignated    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Assets 0 0
Other Assets [Member] | Fair Value, Recurring [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available for Sale Securities, Noncurrent 108 108
Deferred compensation assets 384 355
Other Assets [Member] | Fair Value, Recurring [Member] | Level 1    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available for Sale Securities, Noncurrent 0 0
Deferred compensation assets 11 19
Other Assets [Member] | Fair Value, Recurring [Member] | Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available for Sale Securities, Noncurrent 57 55
Deferred compensation assets 373 336
Other Assets [Member] | Fair Value, Recurring [Member] | Level 3    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available for Sale Securities, Noncurrent 51 53
Deferred compensation assets 0 0
Other Current Liabilities [Member] | Fair Value, Recurring [Member] | Designated as hedges    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Liabilities 0 0
Derivative Liability, Netting (9) (10)
Other Current Liabilities [Member] | Fair Value, Recurring [Member] | Undesignated    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Liabilities 16 15
Derivative Liability, Netting (82) (59)
Other Current Liabilities [Member] | Fair Value, Recurring [Member] | Level 1 | Designated as hedges    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Liabilities 0 0
Other Current Liabilities [Member] | Fair Value, Recurring [Member] | Level 1 | Undesignated    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Liabilities 0 0
Other Current Liabilities [Member] | Fair Value, Recurring [Member] | Level 2 | Designated as hedges    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Liabilities 9 10
Other Current Liabilities [Member] | Fair Value, Recurring [Member] | Level 2 | Undesignated    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Liabilities 98 74
Other Current Liabilities [Member] | Fair Value, Recurring [Member] | Level 3 | Designated as hedges    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Liabilities 0 0
Other Current Liabilities [Member] | Fair Value, Recurring [Member] | Level 3 | Undesignated    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Financial Instruments, Liabilities $ 0 $ 0
v3.20.4
Fair Value Measurements (Schedule Of Debt Securities Measured At Fair Value On A Recurring Basis, Unobservable Input Reconciliation) (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Balance at beginning of year $ 53 $ 52
Total realized gains (losses) included in earnings 0 0
Total unrealized gains (losses) included in other comprehensive income (loss) 0 0
Purchases 5 3
Issuances 0 0
Settlements (7) (6)
Balance at end of period 51 49
Fair Value, Asset, Recurring Basis, Still Held, Unrealized Gain (Loss) $ 0 $ 0
v3.20.4
Fair Value Measurements (Schedule Of Available For Sale Securities) (Details) - USD ($)
$ in Millions
Jan. 02, 2021
Oct. 03, 2020
U.S. treasury and agency    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Amortized Cost Basis $ 57 $ 55
Fair Value 57 55
Unrealized Gain (Loss) 0 0
Corporate and asset-backed    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Amortized Cost Basis 49 51
Fair Value 51 53
Unrealized Gain (Loss) $ 2 $ 2
v3.20.4
Fair Value Measurements (Schedule Of Fair Value And Carrying Value Of Debt) (Details) - USD ($)
$ in Millions
Jan. 02, 2021
Oct. 03, 2020
Fair Value Disclosures [Abstract]    
Total Debt, Fair Value $ 13,332 $ 12,982
Total Debt, Carrying Value $ 11,357 $ 11,339
v3.20.4
Fair Value Measurement (Narrative) (Details) - Maximum [Member]
 3 Months Ended
Jan. 02, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Short Term Investment Maturity Period 12 months
Available For Sale Securities Debt Maturity Period 40 years
v3.20.4
Pension and Other Postretirement Benefit Plans (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Pension Plan [Member]    
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]    
Service cost $ 0 $ 0
Interest cost 2 10
Expected return on plan assets 0 (9)
Amortization of Net actuarial loss 1 1
Net periodic cost (credit) 3 2
Other Postretirement Benefits Plan [Member]    
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]    
Interest cost 0 0
Amortization of prior service credit 0 0
Net periodic cost (credit) $ 0 $ 0
v3.20.4
Segment Reporting (Segment Reporting Information, By Segment) (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Segment Reporting Information [Line Items]    
Sales $ 10,460 $ 10,815
Operating Income (Loss) 705 758
Total other expense 89 101
Income before income taxes 616 657
Revised Results due to misappropriated Company funds [Member]    
Segment Reporting Information [Line Items]    
Unusual or Infrequent Item, or Both, Net (Gain) Loss 55 (68)
Beef [Member]    
Segment Reporting Information [Line Items]    
Sales 3,987 3,838
Pork [Member]    
Segment Reporting Information [Line Items]    
Sales 1,439 1,379
Chicken [Member]    
Segment Reporting Information [Line Items]    
Sales 2,831 3,292
Prepared Foods [Member]    
Segment Reporting Information [Line Items]    
Sales 2,113 2,140
Corporate and Other [Member]    
Segment Reporting Information [Line Items]    
Sales 469 498
Operating Segments [Member] | Beef [Member]    
Segment Reporting Information [Line Items]    
Sales 3,987 3,838
Operating Income (Loss) 528 342
Operating Segments [Member] | Pork [Member]    
Segment Reporting Information [Line Items]    
Sales 1,439 1,379
Operating Income (Loss) 116 191
Operating Segments [Member] | Chicken [Member]    
Segment Reporting Information [Line Items]    
Sales 2,831 3,292
Operating Income (Loss) (216) 57
Operating Segments [Member] | Prepared Foods [Member]    
Segment Reporting Information [Line Items]    
Sales 2,113 2,140
Operating Income (Loss) 266 158
Segment Reconciling Items [Member] | Corporate and Other [Member]    
Segment Reporting Information [Line Items]    
Sales 469 498
Operating Income (Loss) 11 10
Intersegment Eliminations    
Segment Reporting Information [Line Items]    
Sales $ (379) $ (332)
v3.20.4
Segment Reporting Disaggregation of Revenue (By Segment and Distribution Channel) (Details) - USD ($)
$ in Millions
 3 Months Ended
Jan. 02, 2021
Dec. 28, 2019
Disaggregation of Revenue [Line Items]    
Sales $ 10,460 $ 10,815
Beef [Member]    
Disaggregation of Revenue [Line Items]    
Sales 3,987 3,838
Pork [Member]    
Disaggregation of Revenue [Line Items]    
Sales 1,439 1,379
Chicken [Member]    
Disaggregation of Revenue [Line Items]    
Sales 2,831 3,292
Prepared Foods [Member]    
Disaggregation of Revenue [Line Items]    
Sales 2,113 2,140
Corporate and Other [Member]    
Disaggregation of Revenue [Line Items]    
Sales 469 498
Retail    
Disaggregation of Revenue [Line Items]    
Sales [1] 5,305 4,857
Retail | Beef [Member]    
Disaggregation of Revenue [Line Items]    
Sales 2,134 1,857
Retail | Pork [Member]    
Disaggregation of Revenue [Line Items]    
Sales 432 400
Retail | Chicken [Member]    
Disaggregation of Revenue [Line Items]    
Sales 1,436 1,389
Retail | Prepared Foods [Member]    
Disaggregation of Revenue [Line Items]    
Sales 1,303 1,211
Retail | Corporate and Other [Member]    
Disaggregation of Revenue [Line Items]    
Sales 0 0
Foodservice    
Disaggregation of Revenue [Line Items]    
Sales [2] 2,838 3,315
Foodservice | Beef [Member]    
Disaggregation of Revenue [Line Items]    
Sales 821 1,045
Foodservice | Pork [Member]    
Disaggregation of Revenue [Line Items]    
Sales 92 117
Foodservice | Chicken [Member]    
Disaggregation of Revenue [Line Items]    
Sales 1,185 1,307
Foodservice | Prepared Foods [Member]    
Disaggregation of Revenue [Line Items]    
Sales 740 846
Foodservice | Corporate and Other [Member]    
Disaggregation of Revenue [Line Items]    
Sales 0 0
International    
Disaggregation of Revenue [Line Items]    
Sales [3] 1,563 1,490
International | Beef [Member]    
Disaggregation of Revenue [Line Items]    
Sales 618 514
International | Pork [Member]    
Disaggregation of Revenue [Line Items]    
Sales 293 280
International | Chicken [Member]    
Disaggregation of Revenue [Line Items]    
Sales 152 161
International | Prepared Foods [Member]    
Disaggregation of Revenue [Line Items]    
Sales 31 37
International | Corporate and Other [Member]    
Disaggregation of Revenue [Line Items]    
Sales 469 498
Industrial and Other    
Disaggregation of Revenue [Line Items]    
Sales [4] 754 1,153
Industrial and Other | Beef [Member]    
Disaggregation of Revenue [Line Items]    
Sales 323 326
Industrial and Other | Pork [Member]    
Disaggregation of Revenue [Line Items]    
Sales 342 360
Industrial and Other | Chicken [Member]    
Disaggregation of Revenue [Line Items]    
Sales 50 421
Industrial and Other | Prepared Foods [Member]    
Disaggregation of Revenue [Line Items]    
Sales 39 46
Industrial and Other | Corporate and Other [Member]    
Disaggregation of Revenue [Line Items]    
Sales 0 0
Intersegment Eliminations    
Disaggregation of Revenue [Line Items]    
Sales 0 0
Intersegment Eliminations | Beef [Member]    
Disaggregation of Revenue [Line Items]    
Sales 91 96
Intersegment Eliminations | Pork [Member]    
Disaggregation of Revenue [Line Items]    
Sales 280 222
Intersegment Eliminations | Chicken [Member]    
Disaggregation of Revenue [Line Items]    
Sales 8 14
Intersegment Eliminations | Prepared Foods [Member]    
Disaggregation of Revenue [Line Items]    
Sales 0 0
Intersegment Eliminations | Corporate and Other [Member]    
Disaggregation of Revenue [Line Items]    
Sales 0 0
Intersegment Eliminations    
Disaggregation of Revenue [Line Items]    
Sales $ (379) $ (332)
[1] (a) Includes sales to consumer products and food retailers, such as grocery retailers, warehouse club stores and internet-based retailers
[2] (b) Includes sales to foodservice distributors, restaurant operators, hotel chains and noncommercial foodservice establishments such as schools, convenience stores, healthcare facilities and the military.
[3] (c) Includes sales to international markets for internationally produced products or export sales of domestically produced products.
[4] (d) Includes sales to industrial food processing companies that further process our product to sell to end consumers and any remaining sales not included in the Retail, Foodservice or International categories. For the three months ended January 2, 2021, the Chicken segment included a $320 million reduction in Other due to the recognition of a legal contingency accrual.
v3.20.4
Segment Reporting (Narrative) (Details)
$ in Millions
 3 Months Ended
Jan. 02, 2021
USD ($)
Segments
Dec. 28, 2019
USD ($)
Oct. 03, 2020
USD ($)
Segment Reporting Information [Line Items]      
Number of Operating Segments | Segments 4    
Sales $ 10,460 $ 10,815  
Loss Contingency Accrual 339   $ 18
Operating Income (Loss) 705 758  
Revision of Prior Period, Adjustment [Member]      
Segment Reporting Information [Line Items]      
Operating Income (Loss)   (68)  
Broiler Antitrust Civil Litigation [Member]      
Segment Reporting Information [Line Items]      
Loss Contingency Accrual 320    
Beef [Member]      
Segment Reporting Information [Line Items]      
Sales 3,987 3,838  
Pork [Member]      
Segment Reporting Information [Line Items]      
Sales 1,439 1,379  
Chicken [Member]      
Segment Reporting Information [Line Items]      
Sales 2,831 3,292  
Prepared Foods [Member]      
Segment Reporting Information [Line Items]      
Sales 2,113 2,140  
Corporate and Other [Member]      
Segment Reporting Information [Line Items]      
Sales 469 498  
Operating Segments [Member] | Beef [Member]      
Segment Reporting Information [Line Items]      
Sales 3,987 3,838  
Operating Income (Loss) 528 342  
Operating Segments [Member] | Pork [Member]      
Segment Reporting Information [Line Items]      
Sales 1,439 1,379  
Operating Income (Loss) 116 191  
Operating Segments [Member] | Chicken [Member]      
Segment Reporting Information [Line Items]      
Sales 2,831 3,292  
Operating Income (Loss) (216) 57  
Operating Segments [Member] | Prepared Foods [Member]      
Segment Reporting Information [Line Items]      
Sales 2,113 2,140  
Operating Income (Loss) 266 158  
Segment Reconciling Items [Member] | Corporate and Other [Member]      
Segment Reporting Information [Line Items]      
Sales 469 498  
Operating Income (Loss) 11 10  
Intersegment Eliminations      
Segment Reporting Information [Line Items]      
Sales $ (379) $ (332)  
v3.20.4
Commitments (Narrative) (Details) - USD ($)
 3 Months Ended
Jan. 02, 2021
Oct. 03, 2020
Dec. 28, 2019
Guarantor Obligations [Line Items]      
Guarantor Obligations, Current Carrying Value $ 0 $ 0  
Potential maximum obligation under cash flow assistance programs 325,000,000    
Total receivables under cash flow assistance programs 26,000,000 29,000,000  
Cash Flow Assistance Program, Estimated Allowance For Uncollectible Receivables 0 0  
Restricted Cash 29,000,000 $ 46,000,000 $ 0
Industrial Revenue Bonds [Member]      
Guarantor Obligations [Line Items]      
Industrial Revenue Bonds $ 786,000,000    
Guarantee Obligations [Member]      
Guarantor Obligations [Line Items]      
Guarantor Obligations, Maximum Exposure, Period 10 years    
v3.20.4
Contingencies (Narrative) (Details)
 12 Months Ended
Jan. 19, 2021
USD ($)
Dec. 21, 2016
USD ($)
Plantiffs
Dec. 21, 2016
PHP (₱)
Plantiffs
Nov. 29, 2016
USD ($)
Plantiffs
Nov. 29, 2016
PHP (₱)
Plantiffs
Jun. 23, 2014
USD ($)
Jun. 23, 2014
PHP (₱)
Dec. 31, 2004
USD ($)
Dec. 31, 2004
PHP (₱)
Jan. 02, 2021
USD ($)
Oct. 03, 2020
USD ($)
Loss Contingencies [Line Items]                      
Loss Contingency Accrual                   $ 339,000,000 $ 18,000,000
Republic of the Philippines, Department of Labor and Employment and the National Labor Relations Commission [Member]                      
Loss Contingencies [Line Items]                      
Loss Contingency, Damages Awarded, Value       $ 309,000,000 ₱ 14,858,495,937     $ 72,000,000 ₱ 3,453,664,710    
Loss Contingency, Number of Plaintiffs, Award Increase | Plantiffs       4,922 4,922            
Estimated Percentage of Settling Complainants   18.00% 18.00%                
Loss Contingency, Number of Plaintiffs | Plantiffs   5,984 5,984 5,984 5,984            
Loss Contingency, Damages Paid Per Complainant   $ 1,400 ₱ 68,000                
Broiler Antitrust Civil Litigation [Member] | Subsequent Event [Member]                      
Loss Contingencies [Line Items]                      
Litigation Settlement, Amount Awarded to Other Party $ 221,500,000                    
Broiler Antitrust Civil Litigation [Member]                      
Loss Contingencies [Line Items]                      
Loss Contingency Accrual                   $ 320,000,000  
Maximum [Member] | Republic of the Philippines, Department of Labor and Employment and the National Labor Relations Commission [Member]                      
Loss Contingencies [Line Items]                      
Litigation settlement, amount requested by respondent           $ 7,100,000 ₱ 342,287,800        
v3.20.4
Label Element Value
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents $ 1,466,000,000
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents $ 484,000,000