Note I - Commitments

12 Months Ended

Sep. 24, 2022

Notes to Financial Statements

Commitments and Contingencies Disclosure [Text Block]

NOTE I ‑ COMMITMENTS

We are a party to litigation which has arisen in the normal course of business which management currently believes will not have a material adverse effect on our financial condition or results of operations.

We self-insure, up to loss limits, certain insurable risks such as workers’ compensation, automobile, and general liability claims. Accruals for claims under our self-insurance program are recorded on a claims incurred basis. Our total recorded liability for all years’ claims incurred but not yet paid was $13.7 million and $14.5 million at September 24, 2022 and September 25, 2021, respectively. In connection with certain self-insurance agreements, we customarily enter into letters of credit arrangements with our insurers. At September 24, 2022 and at September 25, 2021, we had outstanding letters of credit totaling $9.8 million and $9.3 million, respectively.

We have a self-insured medical plan which covers approximately 1,700 of our employees. We record a liability for incurred but not yet reported or paid claims based on our historical experience of claims payments and a calculated lag time period. Our recorded liability at September 24, 2022 and September 25, 2021 was $1.8 million and $1.8 million, respectively.