CONDENSED CONSOLIDATING FINANCIAL STATEMENTS

TFM Parent, our wholly-owned subsidiary, has fully and unconditionally guaranteed the 2016 Notes. Additionally, TFM Parent has fully and unconditionally guaranteed the 2022 Notes until such date TFM Parent has been released of its guarantee of both (i) Tyson's $1.25 billion revolving credit facility and (ii) the 2016 Notes, at which time TFM Parent's guarantee of the 2019, 2022, 2024, 2034 and 2044 Notes is permanently released. The following financial information presents condensed consolidating financial statements, which include Tyson Foods, Inc. (TFI Parent); TFM Parent; the Non-Guarantor Subsidiaries (Non-Guarantors) on a combined basis; the elimination entries necessary to consolidate TFI Parent, TFM Parent and the Non-Guarantors; and Tyson Foods, Inc. on a consolidated basis, and is provided as an alternative to providing separate financial statements for the guarantor.




Condensed Consolidating Statement of Income and Comprehensive Income for the three months ended June 27, 2015													in millions
	TFI Parent			TFM Parent			Non- Guarantors			Eliminations			Total
Sales	$	196		$	5,417		$	4,884		$	(426	)	$	10,071
Cost of Sales	7			5,318			4,186			(426		)	9,085
Gross Profit	189			99			698			—			986
Selling, General and Administrative	31			62			330			—			423
Operating Income	158			37			368			—			563
Other (Income) Expense:
Interest expense, net	65			—			5			—			70
Other, net	(22		)	—			(3		)	—			(25		)
Equity in net earnings of subsidiaries	(260		)	(52		)	—			312			—
Total Other (Income) Expense	(217		)	(52		)	2			312			45
Income (Loss) before Income Taxes	375			89			366			(312		)	518
Income Tax (Benefit) Expense	32			13			129			—			174
Net Income	343			76			237			(312		)	344
Less: Net Income (Loss) Attributable to Noncontrolling Interest	—			—			1			—			1
Net Income Attributable to Tyson	$	343		$	76		$	236		$	(312	)	$	343

Comprehensive Income (Loss)	335			81			239			(320		)	335
Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interest	—			—			1			—			1
Comprehensive Income (Loss) Attributable to Tyson	$	335		$	81		$	238		$	(320	)	$	334




Condensed Consolidating Statement of Income and Comprehensive Income for the three months ended June 28, 2014													in millions
	TFI Parent			TFM Parent			Non- Guarantors			Eliminations			Total
Sales	$	114		$	5,807		$	4,234		$	(473	)	$	9,682
Cost of Sales	14			5,559			3,945			(473		)	9,045
Gross Profit	100			248			289			—			637
Selling, General and Administrative	16			55			215			—			286
Operating Income	84			193			74			—			351
Other (Income) Expense:
Interest expense, net	23			—			1			—			24
Other, net	22			1			(6		)	—			17
Equity in net earnings of subsidiaries	(229		)	(18		)	—			247			—
Total Other (Income) Expense	(184		)	(17		)	(5		)	247			41
Income (Loss) before Income Taxes	268			210			79			(247		)	310
Income Tax (Benefit) Expense	8			62			(18		)	—			52
Net Income	260			148			97			(247		)	258
Less: Net Income (Loss) Attributable to Noncontrolling Interest	—			—			(2		)	—			(2		)
Net Income Attributable to Tyson	$	260		$	148		$	99		$	(247	)	$	260

Comprehensive Income (Loss)	265			156			106			(262		)	265
Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interest	—			—			(2		)	—			(2		)
Comprehensive Income (Loss) Attributable to Tyson	$	265		$	156		$	108		$	(262	)	$	267




Condensed Consolidating Statement of Income and Comprehensive Income for the nine months ended June 27, 2015													in millions
	TFI Parent			TFM Parent			Non- Guarantors			Eliminations			Total
Sales	$	645		$	16,478		$	15,186		$	(1,442	)	$	30,867
Cost of Sales	43			16,102			13,229			(1,438		)	27,936
Gross Profit	602			376			1,957			(4		)	2,931
Selling, General and Administrative	97			182			1,037			(4		)	1,312
Operating Income	505			194			920			—			1,619
Other (Income) Expense:
Interest expense, net	198			1			16			—			215
Other, net	(24		)	(2		)	(6		)	—			(32		)
Equity in net earnings of subsidiaries	(744		)	(140		)	—			884			—
Total Other (Income) Expense	(570		)	(141		)	10			884			183
Income (Loss) before Income Taxes	1,075			335			910			(884		)	1,436
Income Tax (Benefit) Expense	113			67			291			—			471
Net Income	962			268			619			(884		)	965
Less: Net Income (Loss) Attributable to Noncontrolling Interest	—			—			3			—			3
Net Income Attributable to Tyson	$	962		$	268		$	616		$	(884	)	$	962

Comprehensive Income (Loss)	955			257			601			(858		)	955
Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interest	—			—			3			—			3
Comprehensive Income (Loss) Attributable to Tyson	$	955		$	257		$	598		$	(858	)	$	952




Condensed Consolidating Statement of Income and Comprehensive Income for the nine months ended June 28, 2014													in millions
	TFI Parent			TFM Parent			Non- Guarantors			Eliminations			Total
Sales	$	429		$	16,023		$	12,380		$	(1,357	)	$	27,475
Cost of Sales	35			15,338			11,486			(1,357		)	25,502
Gross Profit	394			685			894			—			1,973
Selling, General and Administrative	67			167			615			—			849
Operating Income	327			518			279			—			1,124
Other (Income) Expense:
Interest expense, net	13			49			10			—			72
Other, net	29			—			(11		)	—			18
Equity in net earnings of subsidiaries	(532		)	(30		)	—			562			—
Total Other (Income) Expense	(490		)	19			(1		)	562			90
Income (Loss) before Income Taxes	817			499			280			(562		)	1,034
Income Tax (Benefit) Expense	90			158			66			—			314
Net Income	727			341			214			(562		)	720
Less: Net Income (Loss) Attributable to Noncontrolling Interest	—			—			(7		)	—			(7		)
Net Income Attributable to Tyson	$	727		$	341		$	221		$	(562	)	$	727

Comprehensive Income (Loss)	732			348			220			(568		)	732
Less: Comprehensive Income (Loss) Attributable to Noncontrolling Interest	—			—			(7		)	—			(7		)
Comprehensive Income (Loss) Attributable to Tyson	$	732		$	348		$	227		$	(568	)	$	739



Condensed Consolidating Balance Sheet as of June 27, 2015										in millions
	TFI Parent		TFM Parent		Non- Guarantors		Eliminations			Total
Assets
Current Assets:
Cash and cash equivalents	$	—	$	13	$	458	$	—		$	471
Accounts receivable, net	4		612		1,017		—			1,633
Inventories	—		1,260		1,822		—			3,082
Other current assets	13		48		165		(12		)	214
Assets held for sale	3		—		186		—			189
Total Current Assets	20		1,933		3,648		(12		)	5,589
Net Property, Plant and Equipment	27		979		4,306		—			5,312
Goodwill	—		881		5,809		—			6,690
Intangible Assets, net	—		12		5,190		—			5,202
Other Assets	139		154		357		—			650
Investment in Subsidiaries	21,626		2,169		—		(23,795		)	—
Total Assets	$	21,812	$	6,128	$	19,310	$	(23,807	)	$	23,443

Liabilities and Shareholders’ Equity
Current Liabilities:
Current debt	$	799	$	1	$	405	$	—		$	1,205
Accounts payable	25		716		880		—			1,621
Other current liabilities	5,620		159		857		(5,486		)	1,150
Liabilities held for sale	—		—		52		—			52
Total Current Liabilities	6,444		876		2,194		(5,486		)	4,028
Long-Term Debt	5,518		1		510		—			6,029
Deferred Income Taxes	3		98		2,346		—			2,447
Other Liabilities	180		123		953		—			1,256

Total Tyson Shareholders’ Equity	9,667		5,030		13,291		(18,321		)	9,667
Noncontrolling Interest	—		—		16		—			16
Total Shareholders’ Equity	9,667		5,030		13,307		(18,321		)	9,683
Total Liabilities and Shareholders’ Equity	$	21,812	$	6,128	$	19,310	$	(23,807	)	$	23,443



Condensed Consolidating Balance Sheet as of September 27, 2014										in millions
	TFI Parent		TFM Parent		Non- Guarantors		Eliminations			Total
Assets
Current Assets:
Cash and cash equivalents	$	—	$	41	$	397	$	—		$	438
Accounts receivable, net	3		665		1,016		—			1,684
Inventories	—		1,272		2,002		—			3,274
Other current assets	42		78		379		(120		)	379
Assets held for sale	3		—		443		—			446
Total Current Assets	48		2,056		4,237		(120		)	6,221
Net Property, Plant and Equipment	30		932		4,168		—			5,130
Goodwill	—		881		5,825		—			6,706
Intangible Assets, net	—		15		5,261		—			5,276
Other Assets	204		148		326		(55		)	623
Investment in Subsidiaries	20,845		2,049		—		(22,894		)	—
Total Assets	$	21,127	$	6,081	$	19,817	$	(23,069	)	$	23,956

Liabilities and Shareholders’ Equity
Current Liabilities:
Current debt	$	240	$	—	$	403	$	—		$	643
Accounts payable	35		755		1,016		—			1,806
Other current liabilities	4,718		235		921		(4,667		)	1,207
Liabilities held for sale	—		—		141		—			141
Total Current Liabilities	4,993		990		2,481		(4,667		)	3,797
Long-Term Debt	7,056		2		532		(55		)	7,535
Deferred Income Taxes	21		96		2,333		—			2,450
Other Liabilities	167		125		978		—			1,270

Total Tyson Shareholders’ Equity	8,890		4,868		13,479		(18,347		)	8,890
Noncontrolling Interest	—		—		14		—			14
Total Shareholders’ Equity	8,890		4,868		13,493		(18,347		)	8,904
Total Liabilities and Shareholders’ Equity	$	21,127	$	6,081	$	19,817	$	(23,069	)	$	23,956



Condensed Consolidating Statement of Cash Flows for the nine months ended June 27, 2015													in millions
	TFI Parent			TFM Parent			Non- Guarantors			Eliminations			Total
Cash Provided by (Used for) Operating Activities	$	213		$	190		$	1,290		$	(21	)	$	1,672
Cash Flows from Investing Activities:
Additions to property, plant and equipment	—			(127		)	(509		)	—			(636		)
(Purchases of)/Proceeds from marketable securities, net	21			—			(2		)	—			19
Proceeds from sale of businesses	—			—			165			—			165
Other, net	26			1			(1		)	—			26
Cash Provided by (Used for) Investing Activities	47			(126		)	(347		)	—			(426		)
Cash Flows from Financing Activities:
Net change in debt	(982		)	—			(2		)	—			(984		)
Purchases of Tyson Class A common stock	(197		)	—			—			—			(197		)
Dividends	(110		)	—			(21		)	21			(110		)
Stock options exercised	71			—			—			—			71
Other, net	17			—			—			—			17
Net change in intercompany balances	941			(92		)	(849		)	—			—
Cash Provided by (Used for) Financing Activities	(260		)	(92		)	(872		)	21			(1,203		)
Effect of Exchange Rate Change on Cash	—			—			(10		)	—			(10		)
Increase (Decrease) in Cash and Cash Equivalents	—			(28		)	61			—			33
Cash and Cash Equivalents at Beginning of Year	—			41			397			—			438
Cash and Cash Equivalents at End of Period	$	—		$	13		$	458		$	—		$	471



Condensed Consolidating Statement of Cash Flows for the nine months ended June 28, 2014													in millions
	TFI Parent			TFM Parent			Non- Guarantors			Eliminations			Total
Cash Provided by (Used for) Operating Activities	$	12		$	264		$	312		$	(45	)	$	543
Cash Flows from Investing Activities:
Additions to property, plant and equipment	(1		)	(109		)	(327		)	—			(437		)
(Purchases of)/Proceeds from marketable securities, net	—			—			(1		)	—			(1		)
Acquisitions, net of cash acquired	—			—			(56		)	—			(56		)
Other, net	30			1			13			—			44
Cash Provided by (Used for) Investing Activities	29			(108		)	(371		)	—			(450		)
Cash Flows from Financing Activities:
Net change in debt	(370		)	—			(9		)	—			(379		)
Purchases of Tyson Class A common stock	(286		)	—			—			—			(286		)
Dividends	(76		)	—			(45		)	45			(76		)
Stock options exercised	61			—			—			—			61
Other, net	26			—			—			—			26
Net change in intercompany balances	604			(162		)	(442		)	—			—
Cash Provided by (Used for) Financing Activities	(41		)	(162		)	(496		)	45			(654		)
Effect of Exchange Rate Change on Cash	—			—			3			—			3
Increase (Decrease) in Cash and Cash Equivalents	—			(6		)	(552		)	—			(558		)
Cash and Cash Equivalents at Beginning of Year	—			21			1,124			—			1,145
Cash and Cash Equivalents at End of Period	$	—		$	15		$	572		$	—		$	587