VENTURE CAPITAL INVESTMENTS AND STRATEGIC EQUITY INVESTMENTS

12 Months Ended

Dec. 25, 2021

Marketable Securities and Equity-Method Affiliates [Abstract]

VENTURE CAPITAL INVESTMENTS AND STRATEGIC EQUITY INVESTMENTS

VENTURE CAPITAL AND STRATEGIC EQUITY INVESTMENTS

Venture capital investments were $149.6 million and $197.1 million as of December 25, 2021 and December 26, 2020, respectively. The Company’s total commitment to the venture capital funds as of December 25, 2021 was $165.3 million, of which the Company funded $113.3 million through that date. During fiscal years 2021, 2020, and 2019, the Company received distributions totaling $40.2 million, $27.6 million, and $11.4 million, respectively. During fiscal years 2021, 2020, and 2019, the Company recognized gains and losses related to the venture capital investments of $24.2 million loss, $100.4 million gain and $20.7 million gain, respectively. Losses in fiscal year 2021 predominantly resulted from decreases in fair value from publicly-held investments. Gains in fiscal year 2020 predominantly resulted from increases in fair value from publicly-held investments, which included initial public offerings of certain portfolio companies. As of December 25, 2021 and December 26, 2020, the Company’s consolidated retained earnings included $27.1 million and $76.8 million, respectively, of the undistributed earnings related to these investments, net of tax.

The Company also invests, with minority positions, directly in equity of predominantly privately-held companies. Strategic equity investments were $51.7 million and $24.7 million as of December 25, 2021 and December 26, 2020, respectively. Subsequent to December 25, 2021, the Company committed an additional $25 million to an existing strategic equity investment. During fiscal years 2021, 2020, and 2019, the Company recognized net gains and losses related to the Strategic equity investments of $6.2 million loss, $0.5 million gain, and $0.1 million gain, respectively.