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Restructuring and Related Charges
 3 Months Ended
Dec. 31, 2022
Restructuring and Related Activities [Abstract]  
Restructuring and Related Charges RESTRUCTURING AND RELATED CHARGES
2022 Program
In the fourth quarter of fiscal 2022, the Company approved a restructuring program (the “2022 Program”), which is expected to improve business performance, increase collaboration, enhance team member agility, enable faster decision-making and reduce redundancies. In conjunction with the 2022 Program, the Company plans to bring together all its corporate team members from the Chicago, Downers Grove and Dakota Dunes area corporate locations to its world headquarters in Springdale, Arkansas, through a phased relocation commencing in early calendar year 2023. We anticipate the 2022 Program and associated expenses will be substantially complete in our fiscal 2025. The following table reflects the total pretax anticipated expenses associated with the 2022 Program (in millions):
BeefPorkChickenPrepared FoodsInternational/OtherTotal
Severance costs$23 $8 $7 $51 $12 $101 
Relocation and related costs35 15 1 57 1 109 
Accelerated depreciation6 2 — 12 — 20 
Contract and lease terminations— — — 31 — 31 
Professional and other fees4 1 — 7 1 13 
Total 2022 Program$68 $26 $8 $158 $14 $274 
Restructuring costs include severance expenses, and related charges include costs directly associated with the 2022 Program such as relocation, contract and lease terminations, professional fees and accelerated depreciation resulting from the closure of facilities. We anticipate that $56 million and $218 million of the total pretax anticipated expense will be recorded in Cost of Sales and Selling, General and Administrative, respectively, in our Consolidated Condensed Statements of Income. Included in the table above are $256 million of charges that have resulted or will result in cash outflows and $18 million in non-cash charges.
The following table reflects the pretax impact of the 2022 Program’s restructuring and related charges during the first quarter of fiscal 2023 by reportable segment (in millions):
BeefPorkChickenPrepared FoodsInternational/OtherTotal
Severance costs$2 $1 $— $4 $5 $12 
Relocation and related costs1 1 1 1 — 4 
Accelerated depreciation2 — — 4 — 6 
Contract and lease terminations— — — (2)— (2)
Professional and other fees— — — 1 — 1 
Total$5 $2 $1 $8 $5 $21 
For the first quarter of fiscal 2023, we recorded restructuring and related charges associated with the 2022 Program of $8 million and $13 million in Cost of Sales and Selling, General and Administrative, respectively, in our Consolidated Condensed Statements of Income. Included in the above results are $17 million of charges that have resulted or will result in cash outflows and $4 million in non-cash charges.
The following table reflects the pretax 2022 Program charges to date by reportable segment (in millions):
BeefPorkChickenPrepared FoodsInternational/OtherTotal
Severance costs$18 $6 $6 $40 $8 $78 
Relocation and related costs1 1 1 1 — 4 
Accelerated depreciation2 — — 4 — 6 
Contract and lease terminations— — — (2)— (2)
Professional and other fees— — — 1 — 1 
Total$21 $7 $7 $44 $8 $87 
As of the first quarter of fiscal 2023, we recorded restructuring and related charges to date associated with the 2022 Program of $26 million and $61 million in Cost of Sales and Selling, General and Administrative, respectively, in our Consolidated Condensed Statements of Income. Included in the above results are $83 million of charges to date that have resulted or will result in cash outflows and $4 million in non-cash charges to date.
The following table reflects our liability related to the 2022 Program, which was recognized in other current liabilities in our Consolidated Condensed Balance sheet as of December 31, 2022 (in millions):
Balance at October 1, 2022Restructuring ExpensePaymentsChanges in EstimatesBalance at
December 31, 2022
Severance costs$66 $12 $5 $— $73 
Relocation and related costs— 4 2 — 2 
Professional and other fees— 1 1 — — 
Total$66 $17 $8 $— $75 
As the Company continues to evaluate its business strategies and long-term growth targets, additional restructuring activities may occur.