INCOME TAXES (Tables)

12 Months Ended

Dec. 29, 2018

Income Tax Disclosure [Abstract]

Schedule of Components of Income from Continuing Operations Before Income Taxes

The components of income from continuing operations before income taxes consisted of the following:

(In millions)	2018		2017		2016
United States	$	138	$	295	$	445
Foreign		20		4		14
Total income from continuing operations before income taxes	$	158	$	299	$	459

Schedule Income Tax Expense Related to Income From Continuing Operations

The income tax expense related to income from continuing operations consisted of the following:

(In millions)	2018		2017			2016
Current:
Federal	$	3	$	4		$	17
State		7		3			6
Foreign		9		9			3
Deferred:
Federal		27		152			(210	)
State		13		(17	)		(37	)
Foreign		—		2			1
Total income tax expense (benefit)	$	59	$	153		$	(220	)

Reconciliation Of Income Taxes At The Federal Statutory Rate To The Provision For Income Taxes

The following is a reconciliation of income taxes at the U.S. Federal statutory rate to the provision for income taxes:

(In millions)	2018			2017			2016
Federal tax computed at the statutory rate	$	33		$	105		$	160
State taxes, net of Federal benefit		10			12			(20	)
Foreign income taxed at rates other than Federal		5			2			—
Decrease in valuation allowance		(3	)		(36	)		(349	)
Non-deductible Merger expenses		—			3			—
Other non-deductible expenses and settlements		10			—			3
Tax basis differences in Investment in Subs		(4	)		—			—
Non-taxable income and additional deductible expenses		(1	)		(4	)		(13	)
Change in unrecognized tax benefits		1			—			(3	)
Impact of Tax Reform		—			68			—
Impact of stock compensation shortfall		5			3			—
Repatriation of foreign earnings		—			3			—
Subpart F and dividend income, net of foreign tax credits		—			—			2
Other items, net		3			(3	)		—
Income tax expense (benefit)	$	59		$	153		$	(220	)

Schedule of Components Deferred Income Tax Assets and Liabilities

The components of deferred income tax assets and liabilities consisted of the following:

	December 29,			December 30,
(In millions)	2018			2017
U.S. and foreign loss carryforwards	$	253		$	253
Deferred rent credit		35			33
Pension and other accrued compensation		65			50
Accruals for facility closings		5			8
Inventory		11			13
Self-insurance accruals		21			24
Deferred revenue		17			20
U.S. and foreign income tax credit carryforwards		227			237
Allowance for bad debts		4			4
Accrued expenses		20			19
Basis difference in fixed assets		30			46
Gross deferred tax assets		688			707
Valuation allowance		(142	)		(144	)
Deferred tax assets		546			563
Internal software		11			6
Installment gain on sale of timberlands		172			172
Intangibles		96			96
Undistributed foreign earnings		4			5
Deferred tax liabilities		283			279
Net deferred tax assets	$	263		$	284

Summary of Valuation Allowances

The following summarizes the activity related to valuation allowances for deferred tax assets:

(In millions)	2018			2017			2016
Beginning balance	$	144		$	140		$	522
Additions, charged to expense		—			4			—
Acquired via Merger		—			1			—
Impact of Tax Reform		—			40			—
Reductions		(2	)		(41	)		(382	)
Ending balance	$	142		$	144		$	140

Summary of Activity Related to Unrecognized Tax Benefits

The following table summarizes the activity related to unrecognized tax benefits:

(In millions)	2018			2017			2016
Beginning balance	$	20		$	14		$	18
Increase related to current year tax positions		—			—			1
Increase related to merger		—			8			—
Increase (decrease) related to prior year tax positions		1			(1	)		—
Decrease related to lapse of statute of limitations		—			—			—
Decrease related to settlements with taxing authorities		(1	)		(1	)		(5	)
Ending balance	$	20		$	20		$	14