10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended April 1, 2017

Commission File Number 0-00981

PUBLIX SUPER MARKETS, INC.

(Exact name of Registrant as specified in its charter)

Florida	59-0324412
(State of incorporation)	(I.R.S. Employer Identification No.)
3300 Publix Corporate Parkway Lakeland, Florida	33811
(Address of principal executive offices)	(Zip code)

Registrant’s telephone number, including area code: (863) 688-1188

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months and (2) has been subject to such filing requirements for the past 90 days.

Yes    X          No  

Indicate by check mark whether the Registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months.

Yes    X          No  

Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer     Accelerated filer    Non-accelerated filer    X  

Smaller reporting company     Emerging growth company  

If an emerging growth company, indicate by check mark if the Registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes          No    X  

The number of shares of the Registrant’s common stock outstanding as of April 14, 2017 was 766,995,000.

PART I. FINANCIAL INFORMATION

Item 1.    Financial Statements

PUBLIX SUPER MARKETS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Amounts are in thousands, except par value)

	April 1, 2017				December 31, 2016
		(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents		$	568,632			438,319
Short-term investments		1,597,903				1,591,740
Trade receivables		665,464				715,292
Merchandise inventories		1,735,861				1,722,392
Prepaid expenses		45,535				50,434
Total current assets		4,613,395				4,518,177
Long-term investments		5,461,917				5,146,878
Other noncurrent assets		541,957				434,280
Property, plant and equipment		12,187,185				11,981,632
Accumulated depreciation		(4,778,233		)		(4,694,509	)
Net property, plant and equipment		7,408,952				7,287,123
		$	18,026,221			17,386,458
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable		$	1,730,028			1,609,652
Accrued expenses:
Contributions to retirement plans		266,577				525,668
Self-insurance reserves		140,539				139,554
Salaries and wages		165,404				127,856
Other		329,056				414,197
Current portion of long-term debt		127,070				113,999
Federal and state income taxes		232,821				12,787
Total current liabilities		2,991,495				2,943,713
Deferred tax liabilities		417,286				396,484
Self-insurance reserves		217,408				216,125
Accrued postretirement benefit cost		102,779				102,540
Long-term debt		115,928				136,585
Other noncurrent liabilities		94,276				93,574
Total liabilities		3,939,172				3,889,021
Common stock related to Employee Stock Ownership Plan (ESOP)		3,484,220				3,068,097
Stockholders’ equity:
Common stock of $1 par value. Authorized 1,000,000 shares; issued 770,415 shares in 2017 and 763,198 shares in 2016		770,415				763,198
Additional paid-in capital		3,139,647				2,849,947
Retained earnings		10,222,245				9,836,696
Treasury stock at cost, 2,820 shares in 2017		(115,343		)		—
Accumulated other comprehensive earnings		43,158				23,427
Common stock related to ESOP		(3,484,220		)		(3,068,097	)
Total stockholders’ equity		10,575,902				10,405,171
Noncontrolling interests		26,927				24,169
Total equity		14,087,049				13,497,437
		$	18,026,221			17,386,458

See accompanying notes to condensed consolidated financial statements.     

1

PUBLIX SUPER MARKETS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS

(Amounts are in thousands, except per share amounts)

		Three Months Ended
	April 1, 2017			March 26, 2016
		(Unaudited)
Revenues:
Sales		$	8,685,145		8,722,190
Other operating income		67,801			68,371
Total revenues		8,752,946			8,790,561
Costs and expenses:
Cost of merchandise sold		6,256,904			6,271,124
Operating and administrative expenses		1,756,030			1,692,650
Total costs and expenses		8,012,934			7,963,774
Operating profit		740,012			826,787
Investment income		60,750			27,830
Other nonoperating income, net		14,255			11,688
Earnings before income tax expense		815,017			866,305
Income tax expense		259,746			284,416
Net earnings		$	555,271		581,889
Weighted average shares outstanding		764,695			770,776
Basic and diluted earnings per share		$	0.73		0.75
Dividends paid per share		$	0.2225		0.20

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS

(Amounts are in thousands)

		Three Months Ended
	April 1, 2017				March 26, 2016
		(Unaudited)
Net earnings		$	555,271			581,889
Other comprehensive earnings:
Unrealized gain on available-for-sale (AFS) securities net of income taxes of $24,507 and $6,905 in 2017 and 2016, respectively		38,918				10,965
Reclassification adjustment for net realized gain on AFS securities net of income taxes of $(12,082) and $(2,201) in 2017 and 2016, respectively		(19,187		)		(3,495	)
Comprehensive earnings		$	575,002			589,359

See accompanying notes to condensed consolidated financial statements.     

2

PUBLIX SUPER MARKETS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Amounts are in thousands)

		Three Months Ended
	April 1, 2017				March 26, 2016
		(Unaudited)
Cash flows from operating activities:
Cash received from customers		$	8,736,477			8,742,020
Cash paid to employees and suppliers		(7,604,800		)		(7,519,371	)
Income taxes paid		(9,576		)		(10,021	)
Self-insured claims paid		(82,262		)		(75,632	)
Dividends and interest received		59,759				55,727
Other operating cash receipts		66,493				66,912
Other operating cash payments		(4,565		)		(11,218	)
Net cash provided by operating activities		1,161,526				1,248,417
Cash flows from investing activities:
Payment for capital expenditures		(287,654		)		(336,682	)
Proceeds from sale of property, plant and equipment		536				2,589
Payment for investments		(861,677		)		(747,159	)
Proceeds from sale and maturity of investments		471,840				314,608
Net cash used in investing activities		(676,955		)		(766,644	)
Cash flows from financing activities:
Payment for acquisition of common stock		(287,451		)		(277,919	)
Proceeds from sale of common stock		107,743				110,485
Dividends paid		(169,722		)		(153,957	)
Repayment of long-term debt		(8,616		)		(18,797	)
Other, net		3,788				(84	)
Net cash used in financing activities		(354,258		)		(340,272	)
Net increase in cash and cash equivalents		130,313				141,501
Cash and cash equivalents at beginning of period		438,319				352,176
Cash and cash equivalents at end of period		$	568,632			493,677

See accompanying notes to condensed consolidated financial statements.     (Continued)

3

PUBLIX SUPER MARKETS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Amounts are in thousands)

		Three Months Ended
	April 1, 2017				March 26, 2016
		(Unaudited)
Reconciliation of net earnings to net cash provided by operating activities:
Net earnings		$	555,271			581,889
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization		157,291				149,934
Increase in LIFO reserve		4,582				7,100
Retirement contributions paid or payable in common stock		102,337				111,193
Deferred income taxes		8,377				4,930
Loss on disposal and impairment of property, plant and equipment		1,780				635
Gain on AFS securities		(31,269		)		(5,696	)
Net amortization of investments		32,234				35,566
Changes in operating assets and liabilities providing (requiring) cash:
Trade receivables		49,885				(548	)
Merchandise inventories		(18,051		)		110,081
Prepaid expenses and other noncurrent assets		(9,494		)		(6,909	)
Accounts payable and accrued expenses		68,633				4,687
Self-insurance reserves		2,268				(154	)
Federal and state income taxes		236,741				257,125
Other noncurrent liabilities		941				(1,416	)
Total adjustments		606,255				666,528
Net cash provided by operating activities		$	1,161,526			1,248,417

See accompanying notes to condensed consolidated financial statements.         

4

PUBLIX SUPER MARKETS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(1) Basis of Presentation

The accompanying unaudited condensed consolidated financial statements of Publix Super Markets, Inc. and subsidiaries (the Company) have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) and the rules and regulations of the Securities and Exchange Commission (SEC) for interim financial reporting. Accordingly, the accompanying statements do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, these statements include all adjustments that are of a normal and recurring nature necessary to present fairly the Company’s financial position and results of operations. Due to the seasonal nature of the Company’s business, the results of operations for the three months ended April 1, 2017 are not necessarily indicative of the results for the entire 2017 fiscal year. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

(2) Recently Issued Accounting Standards

In June 2016, the Financial Accounting Standards Board (FASB) issued an Accounting Standards Update (ASU) requiring companies to change the methodology used to measure credit losses on financial instruments.  The ASU is effective for reporting periods beginning after December 15, 2019 with early adoption permitted only for reporting periods beginning after December 15, 2018.  The Company does not expect the adoption of the ASU to have a material effect on the Company’s financial condition or results of operations. The adoption of the ASU will have no effect on the Company’s cash flows.

In February 2016, the FASB issued an ASU on lease accounting. The ASU requires the lease rights and obligations arising from lease contracts, including existing and new arrangements, to be recognized as assets and liabilities on the balance sheet. The ASU is effective for reporting periods beginning after December 15, 2018 with early adoption permitted. While the Company is still evaluating the ASU, the Company expects the adoption of the ASU to have a material effect on the Company’s financial condition due to the recognition of the lease rights and obligations as assets and liabilities on the consolidated balance sheets. The Company does not expect the adoption of the ASU to have a material effect on the Company’s results of operations. The adoption of the ASU will have no effect on the Company’s cash flows.

In January 2016, the FASB issued an ASU requiring companies to measure equity securities at fair value with changes in fair value recognized in net earnings as opposed to other comprehensive earnings. The ASU is effective for reporting periods beginning after December 15, 2017. The adoption of the ASU will have an effect on the Company’s results of operations. The extent of the effect on results of operations will vary with the changes in the fair value of equity securities. The adoption of the ASU will have no effect on the Company’s financial condition or cash flows.

In November 2015, the FASB issued an ASU requiring companies to classify deferred tax assets and liabilities in the noncurrent section of the balance sheet. The ASU is effective for reporting periods beginning after December 15, 2016. The Company retrospectively adopted the ASU during the quarter ended April 1, 2017, and therefore reclassified $77,496,000 from current deferred tax assets to noncurrent deferred tax liabilities as of December 31, 2016 on the condensed consolidated balance sheet.

In May 2014, the FASB issued an ASU on the recognition of revenue from contracts with customers. The ASU requires additional disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. The ASU is effective for reporting periods beginning after December 15, 2017. The Company does not expect the adoption of the ASU to have a material effect on the Company’s financial condition, results of operations or cash flows.

5

PUBLIX SUPER MARKETS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(3) Fair Value of Financial Instruments

The fair value of certain of the Company’s financial instruments, including cash and cash equivalents, trade receivables and accounts payable, approximates their respective carrying amounts due to their short-term maturity.

The fair value of available-for-sale (AFS) securities is based on market prices using the following measurement categories:

Level 1 – Fair value is determined by using quoted prices in active markets for identical investments. AFS securities that are included in this category are primarily mutual funds, exchange traded funds and equity securities.

Level 2 – Fair value is determined by using other than quoted prices. By using observable inputs (for example, benchmark yields, interest rates, reported trades and broker dealer quotes), the fair value is determined through processes such as benchmark curves, benchmarking of like securities and matrix pricing of corporate, state and municipal bonds by using pricing of similar bonds based on coupons, ratings and maturities. AFS securities that are included in this category are primarily debt securities (tax exempt and taxable bonds).

Level 3 – Fair value is determined by using other than observable inputs. Fair value is determined by using the best information available in the circumstances and requires significant management judgment or estimation. No AFS securities are currently included in this category.

Following is a summary of fair value measurements for AFS securities as of April 1, 2017 and December 31, 2016:

	Fair Value		Level 1	Level 2	Level 3
	(Amounts are in thousands)
April 1, 2017	$	7,059,820	1,553,295	5,506,525	—
December 31, 2016	6,738,618		1,286,625	5,451,993	—

(4) Investments

Debt and equity securities are classified as AFS and are carried at fair value. The Company evaluates whether AFS securities are other-than-temporarily impaired (OTTI) based on criteria that include the extent to which cost exceeds market value, the duration of the market value decline, the credit rating of the issuer or security, the failure of the issuer to make scheduled principal or interest payments and the financial health and prospects of the issuer or security.

Declines in the value of AFS securities determined to be OTTI are recognized in earnings and reported as OTTI losses. Debt securities with unrealized losses are considered OTTI if the Company intends to sell the debt security or if the Company will be required to sell the debt security prior to any anticipated recovery. If the Company determines that a debt security is OTTI under these circumstances, the impairment recognized in earnings is measured as the difference between the amortized cost and the current fair value. A debt security is also determined to be OTTI if the Company does not expect to recover the amortized cost of the debt security. However, in this circumstance, if the Company does not intend to sell the debt security and will not be required to sell the debt security, the impairment recognized in earnings equals the estimated credit loss as measured by the difference between the present value of expected cash flows and the amortized cost of the debt security. Expected cash flows are discounted using the debt security’s effective interest rate. An equity security is determined to be OTTI if the Company does not expect to recover the cost of the equity security. Declines in the value of AFS securities determined to be temporary are reported net of income taxes as other comprehensive losses and included as a component of stockholders’ equity.

Interest and dividend income, amortization of premiums, accretion of discounts and realized gains and losses on AFS securities are included in investment income. Interest income is accrued as earned. Dividend income is recognized as income on the ex-dividend date of the security. The cost of AFS securities sold is based on the first-in, first-out method.

6

PUBLIX SUPER MARKETS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Following is a summary of AFS securities as of April 1, 2017 and December 31, 2016:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
	(Amounts are in thousands)
April 1, 2017
Tax exempt bonds	$	2,919,378		4,964		9,748	2,914,594
Taxable bonds	2,616,734			1,530		28,113	2,590,151
Restricted investments	164,548			—		—	164,548
Equity securities	1,279,526			114,410		3,409	1,390,527
	$	6,980,186		120,904		41,270	7,059,820
December 31, 2016
Tax exempt bonds	$	3,036,060		2,211		24,649	3,013,622
Taxable bonds	2,469,192			1,359		33,903	2,436,648
Restricted investments	164,548			—		463	164,085
Equity securities	1,021,340			110,879		7,956	1,124,263
	$	6,691,140		114,449		66,971	6,738,618

Realized gains on sales of AFS securities totaled $34,622,000 for the three months ended April 1, 2017. Realized losses on sales of AFS securities totaled $3,353,000 for the three months ended April 1, 2017.

Realized gains on sales of AFS securities totaled $9,251,000 for the three months ended March 26, 2016. Realized losses on sales of AFS securities totaled $3,555,000 for the three months ended March 26, 2016.

The amortized cost and fair value of AFS securities by expected maturity as of April 1, 2017 and December 31, 2016 are as follows:

	April 1, 2017			December 31, 2016
	Amortized Cost		Fair Value	Amortized Cost	Fair Value
	(Amounts are in thousands)
Due in one year or less	$	1,597,922	1,597,903	1,592,144	1,591,740
Due after one year through five years	3,133,550		3,117,869	3,218,371	3,187,739
Due after five years through ten years	792,266		776,095	680,641	656,162
Due after ten years	12,374		12,878	14,096	14,629
	5,536,112		5,504,745	5,505,252	5,450,270
Restricted investments	164,548		164,548	164,548	164,085
Equity securities	1,279,526		1,390,527	1,021,340	1,124,263
	$	6,980,186	7,059,820	6,691,140	6,738,618

7

PUBLIX SUPER MARKETS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Following is a summary of temporarily impaired AFS securities by the time period impaired as of April 1, 2017 and December 31, 2016:

	Less Than 12 Months				12 Months or Longer			Total
	Fair Value		Unrealized Losses		Fair Value	Unrealized Losses		Fair Value	Unrealized Losses
	(Amounts are in thousands)
April 1, 2017
Tax exempt bonds	$	1,304,761		8,696	23,986		1,052	1,328,747		9,748
Taxable bonds	2,041,367			27,645	51,806		468	2,093,173		28,113
Equity securities	163,598			1,613	4,054		1,796	167,652		3,409
	$	3,509,726		37,954	79,846		3,316	3,589,572		41,270
December 31, 2016
Tax exempt bonds	$	2,360,143		24,416	6,099		233	2,366,242		24,649
Taxable bonds	1,921,367			33,354	51,769		549	1,973,136		33,903
Restricted investments	164,085			463	—		—	164,085		463
Equity securities	61,625			3,924	38,141		4,032	99,766		7,956
	$	4,507,220		62,157	96,009		4,814	4,603,229		66,971

There are 441 AFS securities contributing to the total unrealized loss of $41,270,000 as of April 1, 2017. Unrealized losses related to debt securities are primarily due to interest rate volatility impacting the market value of certain bonds. The Company continues to receive scheduled principal and interest payments on these debt securities. Unrealized losses related to equity securities are primarily due to temporary equity market fluctuations that are expected to recover.

(5) Consolidation of Joint Ventures and Long-Term Debt

From time to time, the Company enters into Joint Ventures (JV), in the legal form of limited liability companies, with certain real estate developers to partner in the development of shopping centers with the Company as the anchor tenant. The Company consolidates certain of these JVs in which it has a controlling financial interest. The Company is considered to have a controlling financial interest in a JV when it has (1) the power to direct the activities of the JV that most significantly impact the JV’s economic performance and (2) the obligation to absorb losses or the right to receive benefits from the JV that could potentially be significant to such JV.

The Company evaluates a JV using specific criteria to determine whether the Company has a controlling financial interest and is the primary beneficiary of the JV. Factors considered in determining whether the Company is the primary beneficiary include risk and reward sharing, experience and financial condition of the other JV members, voting rights, involvement in routine capital and operating decisions and each member’s influence over the JV owned shopping center’s economic performance.

Generally, most major JV decision making is shared between all members. In particular, the use and sale of JV assets, business plans and budgets are generally required to be approved by all members. However, the Company, through its anchor tenant operating lease agreement, has the power to direct the activities that most significantly influence the economic performance of the JV owned shopping center. Additionally, through its member equity interest in the JV, the Company will receive a significant portion of the JV’s benefits or is obligated to absorb a significant portion of the JV’s losses.

As of April 1, 2017, the carrying amounts of the assets and liabilities of the consolidated JVs were $109,412,000 and $53,485,000, respectively. As of December 31, 2016, the carrying amounts of the assets and liabilities of the consolidated JVs were $102,254,000 and $53,278,000, respectively. The assets are owned by and the liabilities are obligations of the JVs, not the Company, except for a portion of the long-term debt of certain JVs guaranteed by the Company. The JVs are financed with capital contributions from the members, loans and/or the cash flows generated by the JV owned shopping centers once in operation. Total earnings attributable to noncontrolling interests for 2017 and 2016 were immaterial. The Company’s involvement with these JVs does not have a significant effect on the Company’s financial condition, results of operations or cash flows.

8

PUBLIX SUPER MARKETS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

The Company’s long-term debt results primarily from the consolidation of loans of certain JVs and loans assumed in connection with the acquisition of certain shopping centers with the Company as the anchor tenant. No loans were assumed during the three months ended April 1, 2017 and March 26, 2016. Maturities of JV loans range from April 2017 through January 2021 and have variable interest rates based on a LIBOR index plus 175 to 250 basis points. Maturities of assumed shopping center loans range from May 2017 through January 2027 and have fixed interest rates ranging from 3.7% to 7.5%.

(6) Retirement Plan

The Company has a trusteed, noncontributory Employee Stock Ownership Plan (ESOP) for the benefit of eligible employees. Since the Company’s common stock is not traded on an established securities market, the ESOP includes a put option for shares of the Company’s common stock distributed from the ESOP. Shares are distributed from the ESOP primarily to separated vested participants and certain eligible participants who elect to diversify their account balances. Under the Company’s administration of the ESOP’s put option, if the owners of distributed shares desire to sell their shares, the Company is required to purchase the shares at fair value for a specified time period after distribution of the shares from the ESOP. The fair value of distributed shares subject to the put option totaled $598,641,000 and $425,514,000 as of April 1, 2017 and December 31, 2016, respectively. The cost of the shares held by the ESOP totaled $2,885,579,000 and $2,642,583,000 as of April 1, 2017 and December 31, 2016, respectively. Due to the Company’s obligation under the put option, the distributed shares subject to the put option and the shares held by the ESOP are classified as temporary equity in the mezzanine section of the condensed consolidated balance sheets and totaled $3,484,220,000 and $3,068,097,000 as of April 1, 2017 and December 31, 2016, respectively. The fair value of the shares held by the ESOP totaled $8,499,952,000 and $8,356,659,000 as of April 1, 2017 and December 31, 2016, respectively.

(7) Accumulated Other Comprehensive Earnings

A reconciliation of the changes in accumulated other comprehensive earnings net of income taxes for the three months ended April 1, 2017 and March 26, 2016 is as follows:

	AFS Securities				Postretirement Benefits			Accumulated Other Comprehensive Earnings
		(Amounts are in thousands)
2017
Balances at December 31, 2016		$	29,118			(5,691	)		23,427
Unrealized gain on AFS securities		38,918				—			38,918
Net realized gain on AFS securities reclassified to investment income		(19,187		)		—			(19,187	)
Net other comprehensive earnings		19,731				—			19,731
Balances at April 1, 2017		$	48,849			(5,691	)		43,158
2016
Balances at December 26, 2015		$	31,295			(5,027	)		26,268
Unrealized gain on AFS securities		10,965				—			10,965
Net realized gain on AFS securities reclassified to investment income		(3,495		)		—			(3,495	)
Net other comprehensive earnings		7,470				—			7,470
Balances at March 26, 2016		$	38,765			(5,027	)		33,738

(8) Subsequent Event

On April 3, 2017, the Company declared a quarterly dividend of $0.23 per share or $176,400,000, payable May 1, 2017 to stockholders of record as of the close of business April 14, 2017.

9

Item 2.    Management’s Discussion and Analysis of Financial Condition and Results of Operations

Overview

The Company is engaged in the retail food industry, operating supermarkets in Florida, Georgia, Alabama, South Carolina, Tennessee and North Carolina. The Company will expand its retail operations into Virginia later this year. As of April 1, 2017, the Company operated 1,146 supermarkets. For the three months ended April 1, 2017, 11 supermarkets were opened (including one replacement supermarket) and 32 supermarkets were remodeled. The replacement supermarket that opened during the three months ended April 1, 2017 replaced the one supermarket that closed during the same period. In the normal course of operations, the Company replaces supermarkets and closes supermarkets that are not meeting performance expectations. The impact of future supermarket closings is not expected to be material.

Results of Operations

Sales

Sales for the three months ended April 1, 2017 were $8.69 billion as compared with $8.72 billion for the three months ended March 26, 2016, a decrease of $37.0 million or 0.4%. The decrease in sales for the three months ended April 1, 2017 as compared with the three months ended March 26, 2016 was primarily due to a 2.1% decrease in comparable store sales (supermarkets open for the same weeks in both periods, including replacement supermarkets). Sales for supermarkets that are replaced on site are classified as new supermarket sales since the replacement period for the supermarket is generally 9 to 12 months. The Company estimates that its sales for the three months ended March 26, 2016 were positively impacted by $100 million or 1.2% due to the effect of the Easter holiday being in the first quarter in 2016. In 2017, the effect of the Easter holiday will be in the second quarter. Comparable store sales for the three months ended April 1, 2017 decreased primarily due to the effect of the early Easter holiday in 2016 and the impact of new supermarkets located near existing supermarkets.

Gross profit

Gross profit (sales less cost of merchandise sold) as a percentage of sales was 28.0% and 28.1% for the three months ended April 1, 2017 and March 26, 2016, respectively. Gross profit as a percentage of sales for the three months ended April 1, 2017 as compared with the three months ended March 26, 2016 remained relatively unchanged.

Operating and administrative expenses

Operating and administrative expenses as a percentage of sales were 20.2% and 19.4% for the three months ended April 1, 2017 and March 26, 2016, respectively. The increase in operating and administrative expenses as a percentage of sales for the three months ended April 1, 2017 as compared with the three months ended March 26, 2016 was primarily due to increases in payroll and facility costs as a percentage of sales.

Investment income

Investment income was $60.8 million and $27.8 million for the three months ended April 1, 2017 and March 26, 2016, respectively. The increase in investment income for the three months ended April 1, 2017 as compared with the three months ended March 26, 2016 was primarily due to an increase in realized gains on the sale of equity securities.

Income tax expense

The effective income tax rate was 31.9% and 32.8% for the three months ended April 1, 2017 and March 26, 2016, respectively. The decrease in the effective income tax rate for the three months ended April 1, 2017 as compared with the three months ended March 26, 2016 was primarily due to the increased impact of the permanent deductions due to the decrease in earnings before income tax expense.

Net earnings

Net earnings were $555.3 million or $0.73 per share and $581.9 million or $0.75 per share for the three months ended April 1, 2017 and March 26, 2016, respectively. Net earnings as a percentage of sales were 6.4% and 6.7% for the three months ended April 1, 2017 and March 26, 2016, respectively. The decrease in net earnings as a percentage of sales for the three months ended April 1, 2017 as compared with the three months ended March 26, 2016 was primarily due to the increase in operating and administrative expenses as a percentage of sales.

10

Liquidity and Capital Resources

Cash and cash equivalents, short-term investments and long-term investments totaled $7,628.5 million as of April 1, 2017, as compared with $7,176.9 million as ofDecember 31, 2016 and $7,561.2 million as of March 26, 2016. The increase from the first quarter of 2016 to the first quarter of 2017 was primarily due to the Company generating cash in excess of the amount needed for operations, capital expenditures, common stock repurchases and dividend payments.

Net cash provided by operating activities

Net cash provided by operating activities was $1,161.5 million and $1,248.4 million for the three months ended April 1, 2017 and March 26, 2016, respectively. The decrease in net cash provided by operating activities for the three months ended April1, 2017 as compared with the three months ended March 26, 2016 was primarily due to the decrease in net earnings and the net effect of timing differences related to operating assets and liabilities.

Net cash used in investing activities

Net cash used in investing activities was $677.0 million and $766.6 million for the three months ended April 1, 2017 and March 26, 2016, respectively. The primary use of net cash in investing activities for the three months ended April 1, 2017 was funding capital expenditures and net increases in investment securities. Capital expenditures for the three months ended April 1, 2017 totaled $287.7 million. These expenditures were incurred in connection with the opening of 11 new supermarkets (including one replacement supermarket) and remodeling 32 supermarkets. Expenditures were also incurred for supermarkets and remodels in progress, new or enhanced information technology hardware and applications and the acquisition of shopping centers with the Company as the anchor tenant. For the three months ended April 1, 2017, the payment for investments, net of the proceeds from the sale and maturity of such investments, was $389.8 million.

Net cash used in financing activities

Net cash used in financing activities was $354.3 million and $340.3 million for the three months ended April 1, 2017 and March 26, 2016, respectively. The primary use of net cash in financing activities was funding net common stock repurchases and dividend payments. Net common stock repurchases totaled $179.7 million and $167.4 million for the three months ended April 1, 2017 and March 26, 2016, respectively. The Company currently repurchases common stock at the stockholders’ request in accordance with the terms of the Employee Stock Purchase Plan (ESPP), Non-Employee Directors Stock Purchase Plan (Directors Plan), 401(k) Plan and ESOP. The amount of common stock offered to the Company for repurchase is not within the control of the Company, but is at the discretion of the stockholders. The Company expects to continue to repurchase its common stock, as offered by its stockholders from time to time, at its then current value for amounts similar to those in prior years. However, with the exception of certain shares distributed from the ESOP, such purchases are not required and the Company retains the right to discontinue them at any time.

Dividends

The Company paid dividends on its common stock of $0.2225 per share or $169.7 million and $0.20 per share or $154.0 million during the three months ended April 1, 2017 and March 26, 2016, respectively.

Capital expenditures projection

Capital expenditures for the remainder of 2017 are expected to be approximately $1,560 million, primarily consisting of new supermarkets, remodeling existing supermarkets, new or enhanced information technology hardware and applications and the acquisition of shopping centers with the Company as the anchor tenant. The shopping center acquisitions are financed with internally generated funds and assumed debt, if prepayment penalties for the debt are determined to be significant. This capital program is subject to continuing change and review.

Cash requirements

In 2017, the cash requirements for operations, capital expenditures, common stock repurchases and dividend payments are expected to be financed by internally generated funds or liquid assets. Based on the Company’s financial position, it is expected that short-term and long-term borrowings would be available to support the Company’s liquidity requirements, if needed.

11

Forward-Looking Statements

From time to time, certain information provided by the Company, including written or oral statements made by its representatives, may contain forward-looking information as defined in Section 21E of the Securities Exchange Act of 1934. Forward-looking information includes statements about the future performance of the Company, which is based on management’s assumptions and beliefs in light of the information currently available to them. When used, the words “plan,” “estimate,” “project,” “intend,” “expect,” “believe” and other similar expressions, as they relate to the Company, are intended to identify such forward-looking statements. These forward-looking statements are subject to uncertainties and other factors that could cause actual results to differ materially from those statements including, but not limited to, the following: competitive practices and pricing in the food and drug industries generally and particularly in the Company’s principal markets; results of programs to increase sales, including private label sales; results of programs to control or reduce costs; changes in buying, pricing and promotional practices; changes in shrink management; changes in the general economy; changes in consumer spending; changes in population, employment and job growth in the Company’s principal markets; and other factors affecting the Company’s business within or beyond the Company’s control. These factors include changes in the rate of inflation, changes in federal, state and local laws and regulations, adverse determinations with respect to litigation or other claims, ability to recruit and retain employees, increases in operating costs including, but not limited to, labor costs, credit card fees and utility costs, particularly electric rates, ability to construct new supermarkets or complete remodels as rapidly as planned and stability of product costs. Other factors and assumptions not identified above could also cause the actual results to differ materially from those set forth in the forward-looking statements. Except as may be required by applicable law, the Company assumes no obligation to publicly update these forward-looking statements.

Item 3.        Quantitative and Qualitative Disclosures About Market Risk

The Company does not utilize financial instruments for trading or other speculative purposes, nor does it utilize leveraged financial instruments. There have been no material changes in the market risk factors from those disclosed in the Company’s Form 10-K for the year ended December 31, 2016.

Item 4.    Controls and Procedures

As of the end of the period covered by this Quarterly Report on Form 10-Q, the Company carried out an evaluation, under the supervision and with the participation of the Company’s management, including the Company’s Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of the Company’s disclosure controls and procedures pursuant to Exchange Act Rule 13a-15. Based upon this evaluation, the Chief Executive Officer and Chief Financial Officer each concluded that the Company’s disclosure controls and procedures are effective to provide reasonable assurance that information required to be disclosed by the Company in the reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported within the time periods specified by the SEC’s rules and forms, and that such information has been accumulated and communicated to the Company’s management, including the Company’s Chief Executive Officer and Chief Financial Officer, in a manner that allows timely decisions regarding required disclosure. There have been no changes in the Company’s internal control over financial reporting identified in connection with the evaluation that occurred during the quarter ended April 1, 2017 that have materially affected, or are reasonably likely to materially affect, the internal control over financial reporting.

12

PART II. OTHER INFORMATION

Item 1.    Legal Proceedings

As reported in the Company’s Form 10-K for the year ended December 31, 2016, the Company is subject from time to time to various lawsuits, claims and charges arising in the normal course of business. The Company believes its recorded reserves are adequate in light of the probable and estimable liabilities. The estimated amount of reasonably possible losses for lawsuits, claims and charges, individually and in the aggregate, is considered to be immaterial. In the opinion of management, the ultimate resolution of these legal proceedings will not have a material adverse effect on the Company’s financial condition, results of operations or cash flows.

Item 1A.    Risk Factors

There have been no material changes in the risk factors from those disclosed in the Company’s Form 10-K for the year ended December 31, 2016.

Item 2.    Unregistered Sales of Equity Securities and Use of Proceeds

Issuer Purchases of Equity Securities

Shares of common stock repurchased by the Company during the three months ended April 1, 2017 were as follows (amounts are in thousands, except per share amounts):

Period		Total Number of Shares Purchased		Average Price Paid per Share			Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs(1)	Approximate Dollar Value of Shares That May Yet Be Purchased Under the Plans or Programs(1)
January 1, 2017 through February 4, 2017			1,345		$	40.15	N/A	N/A
February 5, 2017 through March 4, 2017			2,877		40.63		N/A	N/A
March 5, 2017 through April 1, 2017			2,850		40.90		N/A	N/A
	Total		7,072		$	40.65	N/A	N/A

⁽¹⁾  Common stock is made available for sale by the Company only to its current employees and members of its Board of Directors through the ESPP and Directors Plan and to participants of the 401(k) Plan. In addition, common stock is provided to employees through the ESOP. The Company currently repurchases common stock subject to certain terms and conditions. The ESPP, Directors Plan, 401(k) Plan and ESOP each contain provisions prohibiting any transfer for value without the owner first offering the common stock to the Company.

The Company’s common stock is not traded on an established securities market. The amount of common stock offered to the Company for repurchase is not within the control of the Company, but is at the discretion of the stockholders. The Company does not believe that these repurchases of its common stock are within the scope of a publicly announced plan or program (although the terms of the plans discussed above have been communicated to the participants). Thus, the Company does not believe that it has made any repurchases during the three months ended April 1, 2017 required to be disclosed in the last two columns of the table.

Item 3.    Defaults Upon Senior Securities

Not Applicable

Item 4.    Mine Safety Disclosures

Not Applicable

13

Item 5.    Other Information

Not Applicable

Item 6.    Exhibits

31.1    Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2    Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32.1    Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

32.2    Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101 The following financial information from the Quarterly Report on Form 10-Q for the quarter ended April 1, 2017 is formatted in Extensible Business Reporting Language: (i) Condensed Consolidated Balance Sheets, (ii) Condensed Consolidated Statements of Earnings, (iii) Condensed Consolidated Statements of Comprehensive Earnings, (iv) Condensed Consolidated Statements of Cash Flows and (v) Notes to Condensed Consolidated Financial Statements.

14

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		PUBLIX SUPER MARKETS, INC.
Date:	May 1, 2017	/s/  John A. Attaway, Jr.
		John A. Attaway, Jr., Secretary
Date:	May 1, 2017	/s/  David P. Phillips
		David P. Phillips, Executive Vice President and Chief Financial Officer (Principal Financial and Accounting Officer)

15

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO SECTION 302

OF THE SARBANES-OXLEY ACT OF 2002

Certification

I, Randall T. Jones, Sr., certify that:

1.    I have reviewed this quarterly report on Form 10-Q of Publix Super Markets, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  May 1, 2017

/s/ Randall T. Jones, Sr.

Randall T. Jones, Sr.

Chief Executive Officer and President

EX-31.2

Exhibit 31.2

CERTIFICATION PURSUANT TO SECTION 302

OF THE SARBANES-OXLEY ACT OF 2002

Certification

I, David P. Phillips, certify that:

1.    I have reviewed this quarterly report on Form 10-Q of Publix Super Markets, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 1, 2017

/s/ David P. Phillips

David P. Phillips

Executive Vice President and Chief Financial Officer

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

The certification set forth below is being submitted in connection with the Quarterly Report of Publix Super Markets, Inc. (the “Company”) on Form 10-Q for the period ended April 1, 2017 (the “Report”) for the purpose of complying with Rule 13a-14(b) or Rule 15d-14(b) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Section 1350 of Chapter 63 of Title 18 of the United States Code.

I, Randall T. Jones, Sr., Chief Executive Officer of the Company, certify, to the best of my knowledge, that on the date hereof:

(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Exchange Act; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date:  May 1, 2017

/s/ Randall T. Jones, Sr.

Randall T. Jones, Sr.

Chief Executive Officer and President

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

The certification set forth below is being submitted in connection with the Quarterly Report of Publix Super Markets, Inc. (the “Company”) on Form 10-Q for the period ended April 1, 2017 (the “Report”) for the purpose of complying with Rule 13a-14(b) or Rule 15d-14(b) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Section 1350 of Chapter 63 of Title 18 of the United States Code.

I, David P. Phillips, Chief Financial Officer of the Company, certify, to the best of my knowledge, that on the date hereof:

(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Exchange Act; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: May 1, 2017

/s/ David P. Phillips

David P. Phillips

Executive Vice President and Chief Financial Officer

XML

Document and Entity Information - shares	3 Months Ended
	Apr. 01, 2017	Apr. 14, 2017
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Apr. 01, 2017
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	Q1
Trading Symbol	ck0000081061
Entity Registrant Name	PUBLIX SUPER MARKETS INC
Entity Central Index Key	0000081061
Current Fiscal Year End Date	--12-30
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		766,995,000

XML

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Apr. 01, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 568,632	$ 438,319
Short-term investments	1,597,903	1,591,740
Trade receivables	665,464	715,292
Merchandise inventories	1,735,861	1,722,392
Prepaid expenses	45,535	50,434
Total current assets	4,613,395	4,518,177
Long-term investments	5,461,917	5,146,878
Other noncurrent assets	541,957	434,280
Property, plant and equipment	12,187,185	11,981,632
Accumulated depreciation	(4,778,233)	(4,694,509)
Net property, plant and equipment	7,408,952	7,287,123
Total assets	18,026,221	17,386,458
Current liabilities:
Accounts payable	1,730,028	1,609,652
Accrued expenses:
Contributions to retirement plans	266,577	525,668
Self-insurance reserves	140,539	139,554
Salaries and wages	165,404	127,856
Other	329,056	414,197
Current portion of long-term debt	127,070	113,999
Federal and state income taxes	232,821	12,787
Total current liabilities	2,991,495	2,943,713
Deferred tax liabilities	417,286	396,484
Self-insurance reserves	217,408	216,125
Accrued postretirement benefit cost	102,779	102,540
Long-term debt	115,928	136,585
Other noncurrent liabilities	94,276	93,574
Total liabilities	3,939,172	3,889,021
Common stock related to Employee Stock Ownership Plan (ESOP)	3,484,220	3,068,097
Stockholders’ equity:
Common stock of $1 par value. Authorized 1,000,000 shares; issued 770,415 shares in 2017 and 763,198 shares in 2016	770,415	763,198
Additional paid-in capital	3,139,647	2,849,947
Retained earnings	10,222,245	9,836,696
Treasury stock at cost, 2,820 shares in 2017	(115,343)	0
Accumulated other comprehensive earnings	43,158	23,427
Common stock related to ESOP	(3,484,220)	(3,068,097)
Total stockholders’ equity	10,575,902	10,405,171
Noncontrolling interests	26,927	24,169
Total equity	14,087,049	13,497,437
Total liabilities and stockholders' equity	$ 18,026,221	$ 17,386,458

XML

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Apr. 01, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Common stock, par value	$ 1	$ 1
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares issued	770,415,000	763,198,000
Treasury stock at cost, shares	2,820,000	0

XML

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Apr. 01, 2017	Mar. 26, 2016
Revenues:
Sales	$ 8,685,145	$ 8,722,190
Other operating income	67,801	68,371
Total revenues	8,752,946	8,790,561
Costs and expenses:
Cost of merchandise sold	6,256,904	6,271,124
Operating and administrative expenses	1,756,030	1,692,650
Total costs and expenses	8,012,934	7,963,774
Operating profit	740,012	826,787
Investment income	60,750	27,830
Other nonoperating income, net	14,255	11,688
Earnings before income tax expense	815,017	866,305
Income tax expense	259,746	284,416
Net earnings	$ 555,271	$ 581,889
Weighted average shares outstanding	764,695	770,776
Basic and diluted earnings per share	$ 0.73	$ 0.75
Dividends paid per share	$ 0.2225	$ 0.20

XML

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS - USD ($) $ in Thousands	3 Months Ended
	Apr. 01, 2017	Mar. 26, 2016
Statement of Comprehensive Income [Abstract]
Net earnings	$ 555,271	$ 581,889
Other comprehensive earnings:
Unrealized gain on available-for-sale (AFS) securities net of income taxes of $24,507 and $6,905 in 2017 and 2016, respectively	38,918	10,965
Reclassification adjustment for net realized gain on AFS securities net of income taxes of $(12,082) and $(2,201) in 2017 and 2016, respectively	(19,187)	(3,495)
Comprehensive earnings	$ 575,002	$ 589,359

XML

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Apr. 01, 2017	Mar. 26, 2016
Statement of Comprehensive Income [Abstract]
Unrealized gain on AFS securities, net of income taxes	$ 24,507	$ 6,905
Reclassification adjustment for net realized gain on AFS securities, net of income taxes	$ (12,082)	$ (2,201)

XML

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Apr. 01, 2017	Mar. 26, 2016
Cash flows from operating activities:
Cash received from customers	$ 8,736,477	$ 8,742,020
Cash paid to employees and suppliers	(7,604,800)	(7,519,371)
Income taxes paid	(9,576)	(10,021)
Self-insured claims paid	(82,262)	(75,632)
Dividends and interest received	59,759	55,727
Other operating cash receipts	66,493	66,912
Other operating cash payments	(4,565)	(11,218)
Net cash provided by operating activities	1,161,526	1,248,417
Cash flows from investing activities:
Payment for capital expenditures	(287,654)	(336,682)
Proceeds from sale of property, plant and equipment	536	2,589
Payment for investments	(861,677)	(747,159)
Proceeds from sale and maturity of investments	471,840	314,608
Net cash used in investing activities	(676,955)	(766,644)
Cash flows from financing activities:
Payment for acquisition of common stock	(287,451)	(277,919)
Proceeds from sale of common stock	107,743	110,485
Dividends paid	(169,722)	(153,957)
Repayment of long-term debt	(8,616)	(18,797)
Other, net	3,788	(84)
Net cash used in financing activities	(354,258)	(340,272)
Net increase in cash and cash equivalents	130,313	141,501
Cash and cash equivalents at beginning of period	438,319	352,176
Cash and cash equivalents at end of period	568,632	493,677
Reconciliation of net earnings to net cash provided by operating activities:
Net earnings	555,271	581,889
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization	157,291	149,934
Increase in LIFO reserve	4,582	7,100
Retirement contributions paid or payable in common stock	102,337	111,193
Deferred income taxes	8,377	4,930
Loss on disposal and impairment of property, plant and equipment	1,780	635
Gain on AFS securities	(31,269)	(5,696)
Net amortization of investments	32,234	35,566
Changes in operating assets and liabilities providing (requiring) cash:
Trade receivables	49,885	(548)
Merchandise inventories	(18,051)	110,081
Prepaid expenses and other noncurrent assets	(9,494)	(6,909)
Accounts payable and accrued expenses	68,633	4,687
Self-insurance reserves	2,268	(154)
Federal and state income taxes	236,741	257,125
Other noncurrent liabilities	941	(1,416)
Total adjustments	606,255	666,528
Net cash provided by operating activities	$ 1,161,526	$ 1,248,417

XML

Basis of Presentation

3 Months Ended

Apr. 01, 2017

Accounting Policies [Abstract]

Basis of Presentation

(1) Basis of Presentation

The accompanying unaudited condensed consolidated financial statements of Publix Super Markets, Inc. and subsidiaries (the Company) have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) and the rules and regulations of the Securities and Exchange Commission (SEC) for interim financial reporting. Accordingly, the accompanying statements do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, these statements include all adjustments that are of a normal and recurring nature necessary to present fairly the Company’s financial position and results of operations. Due to the seasonal nature of the Company’s business, the results of operations for the three months ended April 1, 2017 are not necessarily indicative of the results for the entire 2017 fiscal year. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

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Recently Issued Accounting Standard

3 Months Ended

Apr. 01, 2017

New Accounting Pronouncements and Changes in Accounting Principles [Abstract]

Recently Issued Accounting Standard

(2) Recently Issued Accounting Standards

In June 2016, the Financial Accounting Standards Board (FASB) issued an Accounting Standards Update (ASU) requiring companies to change the methodology used to measure credit losses on financial instruments.  The ASU is effective for reporting periods beginning after December 15, 2019 with early adoption permitted only for reporting periods beginning after December 15, 2018.  The Company does not expect the adoption of the ASU to have a material effect on the Company’s financial condition or results of operations. The adoption of the ASU will have no effect on the Company’s cash flows.

In February 2016, the FASB issued an ASU on lease accounting. The ASU requires the lease rights and obligations arising from lease contracts, including existing and new arrangements, to be recognized as assets and liabilities on the balance sheet. The ASU is effective for reporting periods beginning after December 15, 2018 with early adoption permitted. While the Company is still evaluating the ASU, the Company expects the adoption of the ASU to have a material effect on the Company’s financial condition due to the recognition of the lease rights and obligations as assets and liabilities on the consolidated balance sheets. The Company does not expect the adoption of the ASU to have a material effect on the Company’s results of operations. The adoption of the ASU will have no effect on the Company’s cash flows.

In January 2016, the FASB issued an ASU requiring companies to measure equity securities at fair value with changes in fair value recognized in net earnings as opposed to other comprehensive earnings. The ASU is effective for reporting periods beginning after December 15, 2017. The adoption of the ASU will have an effect on the Company’s results of operations. The extent of the effect on results of operations will vary with the changes in the fair value of equity securities. The adoption of the ASU will have no effect on the Company’s financial condition or cash flows.

In November 2015, the FASB issued an ASU requiring companies to classify deferred tax assets and liabilities in the noncurrent section of the balance sheet. The ASU is effective for reporting periods beginning after December 15, 2016. The Company retrospectively adopted the ASU during the quarter ended April 1, 2017, and therefore reclassified $77,496,000 from current deferred tax assets to noncurrent deferred tax liabilities as of December 31, 2016 on the condensed consolidated balance sheet.

In May 2014, the FASB issued an ASU on the recognition of revenue from contracts with customers. The ASU requires additional disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. The ASU is effective for reporting periods beginning after December 15, 2017. The Company does not expect the adoption of the ASU to have a material effect on the Company’s financial condition, results of operations or cash flows.

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Fair Value of Financial Instruments

3 Months Ended

Apr. 01, 2017

Fair Value Disclosures [Abstract]

Fair Value of Financial Instruments

(3) Fair Value of Financial Instruments

The fair value of certain of the Company’s financial instruments, including cash and cash equivalents, trade receivables and accounts payable, approximates their respective carrying amounts due to their short-term maturity.

The fair value of available-for-sale (AFS) securities is based on market prices using the following measurement categories:

Level 1 – Fair value is determined by using quoted prices in active markets for identical investments. AFS securities that are included in this category are primarily mutual funds, exchange traded funds and equity securities.

Level 2 – Fair value is determined by using other than quoted prices. By using observable inputs (for example, benchmark yields, interest rates, reported trades and broker dealer quotes), the fair value is determined through processes such as benchmark curves, benchmarking of like securities and matrix pricing of corporate, state and municipal bonds by using pricing of similar bonds based on coupons, ratings and maturities. AFS securities that are included in this category are primarily debt securities (tax exempt and taxable bonds).

Level 3 – Fair value is determined by using other than observable inputs. Fair value is determined by using the best information available in the circumstances and requires significant management judgment or estimation. No AFS securities are currently included in this category.

Following is a summary of fair value measurements for AFS securities as of April 1, 2017 and December 31, 2016:

	Fair Value		Level 1	Level 2	Level 3
	(Amounts are in thousands)
April 1, 2017	$	7,059,820	1,553,295	5,506,525	—
December 31, 2016	6,738,618		1,286,625	5,451,993	—

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Investments

3 Months Ended

Apr. 01, 2017

Investments, Debt and Equity Securities [Abstract]

Investments

(4) Investments

Debt and equity securities are classified as AFS and are carried at fair value. The Company evaluates whether AFS securities are other-than-temporarily impaired (OTTI) based on criteria that include the extent to which cost exceeds market value, the duration of the market value decline, the credit rating of the issuer or security, the failure of the issuer to make scheduled principal or interest payments and the financial health and prospects of the issuer or security.

Declines in the value of AFS securities determined to be OTTI are recognized in earnings and reported as OTTI losses. Debt securities with unrealized losses are considered OTTI if the Company intends to sell the debt security or if the Company will be required to sell the debt security prior to any anticipated recovery. If the Company determines that a debt security is OTTI under these circumstances, the impairment recognized in earnings is measured as the difference between the amortized cost and the current fair value. A debt security is also determined to be OTTI if the Company does not expect to recover the amortized cost of the debt security. However, in this circumstance, if the Company does not intend to sell the debt security and will not be required to sell the debt security, the impairment recognized in earnings equals the estimated credit loss as measured by the difference between the present value of expected cash flows and the amortized cost of the debt security. Expected cash flows are discounted using the debt security’s effective interest rate. An equity security is determined to be OTTI if the Company does not expect to recover the cost of the equity security. Declines in the value of AFS securities determined to be temporary are reported net of income taxes as other comprehensive losses and included as a component of stockholders’ equity.

Interest and dividend income, amortization of premiums, accretion of discounts and realized gains and losses on AFS securities are included in investment income. Interest income is accrued as earned. Dividend income is recognized as income on the ex-dividend date of the security. The cost of AFS securities sold is based on the first-in, first-out method.

Following is a summary of AFS securities as of April 1, 2017 and December 31, 2016:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
	(Amounts are in thousands)
April 1, 2017
Tax exempt bonds	$	2,919,378		4,964		9,748	2,914,594
Taxable bonds	2,616,734			1,530		28,113	2,590,151
Restricted investments	164,548			—		—	164,548
Equity securities	1,279,526			114,410		3,409	1,390,527
	$	6,980,186		120,904		41,270	7,059,820
December 31, 2016
Tax exempt bonds	$	3,036,060		2,211		24,649	3,013,622
Taxable bonds	2,469,192			1,359		33,903	2,436,648
Restricted investments	164,548			—		463	164,085
Equity securities	1,021,340			110,879		7,956	1,124,263
	$	6,691,140		114,449		66,971	6,738,618

Realized gains on sales of AFS securities totaled $34,622,000 for the three months ended April 1, 2017. Realized losses on sales of AFS securities totaled $3,353,000 for the three months ended April 1, 2017.

Realized gains on sales of AFS securities totaled $9,251,000 for the three months ended March 26, 2016. Realized losses on sales of AFS securities totaled $3,555,000 for the three months ended March 26, 2016.

The amortized cost and fair value of AFS securities by expected maturity as of April 1, 2017 and December 31, 2016 are as follows:

	April 1, 2017			December 31, 2016
	Amortized Cost		Fair Value	Amortized Cost	Fair Value
	(Amounts are in thousands)
Due in one year or less	$	1,597,922	1,597,903	1,592,144	1,591,740
Due after one year through five years	3,133,550		3,117,869	3,218,371	3,187,739
Due after five years through ten years	792,266		776,095	680,641	656,162
Due after ten years	12,374		12,878	14,096	14,629
	5,536,112		5,504,745	5,505,252	5,450,270
Restricted investments	164,548		164,548	164,548	164,085
Equity securities	1,279,526		1,390,527	1,021,340	1,124,263
	$	6,980,186	7,059,820	6,691,140	6,738,618

Following is a summary of temporarily impaired AFS securities by the time period impaired as of April 1, 2017 and December 31, 2016:

	Less Than 12 Months				12 Months or Longer			Total
	Fair Value		Unrealized Losses		Fair Value	Unrealized Losses		Fair Value	Unrealized Losses
	(Amounts are in thousands)
April 1, 2017
Tax exempt bonds	$	1,304,761		8,696	23,986		1,052	1,328,747		9,748
Taxable bonds	2,041,367			27,645	51,806		468	2,093,173		28,113
Equity securities	163,598			1,613	4,054		1,796	167,652		3,409
	$	3,509,726		37,954	79,846		3,316	3,589,572		41,270
December 31, 2016
Tax exempt bonds	$	2,360,143		24,416	6,099		233	2,366,242		24,649
Taxable bonds	1,921,367			33,354	51,769		549	1,973,136		33,903
Restricted investments	164,085			463	—		—	164,085		463
Equity securities	61,625			3,924	38,141		4,032	99,766		7,956
	$	4,507,220		62,157	96,009		4,814	4,603,229		66,971

There are 441 AFS securities contributing to the total unrealized loss of $41,270,000 as of April 1, 2017. Unrealized losses related to debt securities are primarily due to interest rate volatility impacting the market value of certain bonds. The Company continues to receive scheduled principal and interest payments on these debt securities. Unrealized losses related to equity securities are primarily due to temporary equity market fluctuations that are expected to recover.

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Consolidation of Joint Ventures and Long-Term Debt

3 Months Ended

Apr. 01, 2017

Consolidation Of Joint Ventures And Long Term Debt [Abstract]

Consolidation Of Joint Ventures And Long Term Debt Disclosure [Text Block]

(5) Consolidation of Joint Ventures and Long-Term Debt

From time to time, the Company enters into Joint Ventures (JV), in the legal form of limited liability companies, with certain real estate developers to partner in the development of shopping centers with the Company as the anchor tenant. The Company consolidates certain of these JVs in which it has a controlling financial interest. The Company is considered to have a controlling financial interest in a JV when it has (1) the power to direct the activities of the JV that most significantly impact the JV’s economic performance and (2) the obligation to absorb losses or the right to receive benefits from the JV that could potentially be significant to such JV.

The Company evaluates a JV using specific criteria to determine whether the Company has a controlling financial interest and is the primary beneficiary of the JV. Factors considered in determining whether the Company is the primary beneficiary include risk and reward sharing, experience and financial condition of the other JV members, voting rights, involvement in routine capital and operating decisions and each member’s influence over the JV owned shopping center’s economic performance.

Generally, most major JV decision making is shared between all members. In particular, the use and sale of JV assets, business plans and budgets are generally required to be approved by all members. However, the Company, through its anchor tenant operating lease agreement, has the power to direct the activities that most significantly influence the economic performance of the JV owned shopping center. Additionally, through its member equity interest in the JV, the Company will receive a significant portion of the JV’s benefits or is obligated to absorb a significant portion of the JV’s losses.

As of April 1, 2017, the carrying amounts of the assets and liabilities of the consolidated JVs were $109,412,000 and $53,485,000, respectively. As of December 31, 2016, the carrying amounts of the assets and liabilities of the consolidated JVs were $102,254,000 and $53,278,000, respectively. The assets are owned by and the liabilities are obligations of the JVs, not the Company, except for a portion of the long-term debt of certain JVs guaranteed by the Company. The JVs are financed with capital contributions from the members, loans and/or the cash flows generated by the JV owned shopping centers once in operation. Total earnings attributable to noncontrolling interests for 2017 and 2016 were immaterial. The Company’s involvement with these JVs does not have a significant effect on the Company’s financial condition, results of operations or cash flows.

The Company’s long-term debt results primarily from the consolidation of loans of certain JVs and loans assumed in connection with the acquisition of certain shopping centers with the Company as the anchor tenant. No loans were assumed during the three months ended April 1, 2017 and March 26, 2016. Maturities of JV loans range from April 2017 through January 2021 and have variable interest rates based on a LIBOR index plus 175 to 250 basis points. Maturities of assumed shopping center loans range from May 2017 through January 2027 and have fixed interest rates ranging from 3.7% to 7.5%.

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Retirement Plan

3 Months Ended

Apr. 01, 2017

Compensation and Retirement Disclosure [Abstract]

Retirement Plan

(6) Retirement Plan

The Company has a trusteed, noncontributory Employee Stock Ownership Plan (ESOP) for the benefit of eligible employees. Since the Company’s common stock is not traded on an established securities market, the ESOP includes a put option for shares of the Company’s common stock distributed from the ESOP. Shares are distributed from the ESOP primarily to separated vested participants and certain eligible participants who elect to diversify their account balances. Under the Company’s administration of the ESOP’s put option, if the owners of distributed shares desire to sell their shares, the Company is required to purchase the shares at fair value for a specified time period after distribution of the shares from the ESOP. The fair value of distributed shares subject to the put option totaled $598,641,000 and $425,514,000 as of April 1, 2017 and December 31, 2016, respectively. The cost of the shares held by the ESOP totaled $2,885,579,000 and $2,642,583,000 as of April 1, 2017 and December 31, 2016, respectively. Due to the Company’s obligation under the put option, the distributed shares subject to the put option and the shares held by the ESOP are classified as temporary equity in the mezzanine section of the condensed consolidated balance sheets and totaled $3,484,220,000 and $3,068,097,000 as of April 1, 2017 and December 31, 2016, respectively. The fair value of the shares held by the ESOP totaled $8,499,952,000 and $8,356,659,000 as of April 1, 2017 and December 31, 2016, respectively.

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Accumulated Other Comprehensive Earnings (Notes)

3 Months Ended

Apr. 01, 2017

Equity [Abstract]

Comprehensive Income (Loss) Note [Text Block]

(7) Accumulated Other Comprehensive Earnings

A reconciliation of the changes in accumulated other comprehensive earnings net of income taxes for the three months ended April 1, 2017 and March 26, 2016 is as follows:

	AFS Securities				Postretirement Benefits			Accumulated Other Comprehensive Earnings
		(Amounts are in thousands)
2017
Balances at December 31, 2016		$	29,118			(5,691	)		23,427
Unrealized gain on AFS securities		38,918				—			38,918
Net realized gain on AFS securities reclassified to investment income		(19,187		)		—			(19,187	)
Net other comprehensive earnings		19,731				—			19,731
Balances at April 1, 2017		$	48,849			(5,691	)		43,158
2016
Balances at December 26, 2015		$	31,295			(5,027	)		26,268
Unrealized gain on AFS securities		10,965				—			10,965
Net realized gain on AFS securities reclassified to investment income		(3,495		)		—			(3,495	)
Net other comprehensive earnings		7,470				—			7,470
Balances at March 26, 2016		$	38,765			(5,027	)		33,738

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Subsequent Event (Notes)

3 Months Ended

Apr. 01, 2017

Subsequent Events [Abstract]

Subsequent Events [Text Block]

(8) Subsequent Event

On April 3, 2017, the Company declared a quarterly dividend of $0.23 per share or $176,400,000, payable May 1, 2017 to stockholders of record as of the close of business April 14, 2017.

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Basis of Presentation (Policies)

3 Months Ended

Apr. 01, 2017

Accounting Policies [Abstract]

Basis of Presentation

(1) Basis of Presentation

The accompanying unaudited condensed consolidated financial statements of Publix Super Markets, Inc. and subsidiaries (the Company) have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) and the rules and regulations of the Securities and Exchange Commission (SEC) for interim financial reporting. Accordingly, the accompanying statements do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, these statements include all adjustments that are of a normal and recurring nature necessary to present fairly the Company’s financial position and results of operations. Due to the seasonal nature of the Company’s business, the results of operations for the three months ended April 1, 2017 are not necessarily indicative of the results for the entire 2017 fiscal year. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

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Recently Issued Accounting Standard (Policies)

3 Months Ended

Apr. 01, 2017

New Accounting Pronouncements and Changes in Accounting Principles [Abstract]

Recently Issued Accounting Standard

(2) Recently Issued Accounting Standards

In June 2016, the Financial Accounting Standards Board (FASB) issued an Accounting Standards Update (ASU) requiring companies to change the methodology used to measure credit losses on financial instruments.  The ASU is effective for reporting periods beginning after December 15, 2019 with early adoption permitted only for reporting periods beginning after December 15, 2018.  The Company does not expect the adoption of the ASU to have a material effect on the Company’s financial condition or results of operations. The adoption of the ASU will have no effect on the Company’s cash flows.

In February 2016, the FASB issued an ASU on lease accounting. The ASU requires the lease rights and obligations arising from lease contracts, including existing and new arrangements, to be recognized as assets and liabilities on the balance sheet. The ASU is effective for reporting periods beginning after December 15, 2018 with early adoption permitted. While the Company is still evaluating the ASU, the Company expects the adoption of the ASU to have a material effect on the Company’s financial condition due to the recognition of the lease rights and obligations as assets and liabilities on the consolidated balance sheets. The Company does not expect the adoption of the ASU to have a material effect on the Company’s results of operations. The adoption of the ASU will have no effect on the Company’s cash flows.

In January 2016, the FASB issued an ASU requiring companies to measure equity securities at fair value with changes in fair value recognized in net earnings as opposed to other comprehensive earnings. The ASU is effective for reporting periods beginning after December 15, 2017. The adoption of the ASU will have an effect on the Company’s results of operations. The extent of the effect on results of operations will vary with the changes in the fair value of equity securities. The adoption of the ASU will have no effect on the Company’s financial condition or cash flows.

In November 2015, the FASB issued an ASU requiring companies to classify deferred tax assets and liabilities in the noncurrent section of the balance sheet. The ASU is effective for reporting periods beginning after December 15, 2016. The Company retrospectively adopted the ASU during the quarter ended April 1, 2017, and therefore reclassified $77,496,000 from current deferred tax assets to noncurrent deferred tax liabilities as of December 31, 2016 on the condensed consolidated balance sheet.

In May 2014, the FASB issued an ASU on the recognition of revenue from contracts with customers. The ASU requires additional disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. The ASU is effective for reporting periods beginning after December 15, 2017. The Company does not expect the adoption of the ASU to have a material effect on the Company’s financial condition, results of operations or cash flows.

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Fair Value of Financial Instruments (Tables)

3 Months Ended

Apr. 01, 2017

Fair Value Disclosures [Abstract]

Fair Value Measurements for Available for Sale Securities

Following is a summary of fair value measurements for AFS securities as of April 1, 2017 and December 31, 2016:

	Fair Value		Level 1	Level 2	Level 3
	(Amounts are in thousands)
April 1, 2017	$	7,059,820	1,553,295	5,506,525	—
December 31, 2016	6,738,618		1,286,625	5,451,993	—

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Investments (Tables)

3 Months Ended

Apr. 01, 2017

Investments, Debt and Equity Securities [Abstract]

Available For Sale Securities

Following is a summary of AFS securities as of April 1, 2017 and December 31, 2016:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
	(Amounts are in thousands)
April 1, 2017
Tax exempt bonds	$	2,919,378		4,964		9,748	2,914,594
Taxable bonds	2,616,734			1,530		28,113	2,590,151
Restricted investments	164,548			—		—	164,548
Equity securities	1,279,526			114,410		3,409	1,390,527
	$	6,980,186		120,904		41,270	7,059,820
December 31, 2016
Tax exempt bonds	$	3,036,060		2,211		24,649	3,013,622
Taxable bonds	2,469,192			1,359		33,903	2,436,648
Restricted investments	164,548			—		463	164,085
Equity securities	1,021,340			110,879		7,956	1,124,263
	$	6,691,140		114,449		66,971	6,738,618

Amortized Cost and Fair Value of Available For Sale Securities by Expected Maturity

The amortized cost and fair value of AFS securities by expected maturity as of April 1, 2017 and December 31, 2016 are as follows:

	April 1, 2017			December 31, 2016
	Amortized Cost		Fair Value	Amortized Cost	Fair Value
	(Amounts are in thousands)
Due in one year or less	$	1,597,922	1,597,903	1,592,144	1,591,740
Due after one year through five years	3,133,550		3,117,869	3,218,371	3,187,739
Due after five years through ten years	792,266		776,095	680,641	656,162
Due after ten years	12,374		12,878	14,096	14,629
	5,536,112		5,504,745	5,505,252	5,450,270
Restricted investments	164,548		164,548	164,548	164,085
Equity securities	1,279,526		1,390,527	1,021,340	1,124,263
	$	6,980,186	7,059,820	6,691,140	6,738,618

Temporarily Impaired Available For Sale Securities by Time Period Impaired

Following is a summary of temporarily impaired AFS securities by the time period impaired as of April 1, 2017 and December 31, 2016:

	Less Than 12 Months				12 Months or Longer			Total
	Fair Value		Unrealized Losses		Fair Value	Unrealized Losses		Fair Value	Unrealized Losses
	(Amounts are in thousands)
April 1, 2017
Tax exempt bonds	$	1,304,761		8,696	23,986		1,052	1,328,747		9,748
Taxable bonds	2,041,367			27,645	51,806		468	2,093,173		28,113
Equity securities	163,598			1,613	4,054		1,796	167,652		3,409
	$	3,509,726		37,954	79,846		3,316	3,589,572		41,270
December 31, 2016
Tax exempt bonds	$	2,360,143		24,416	6,099		233	2,366,242		24,649
Taxable bonds	1,921,367			33,354	51,769		549	1,973,136		33,903
Restricted investments	164,085			463	—		—	164,085		463
Equity securities	61,625			3,924	38,141		4,032	99,766		7,956
	$	4,507,220		62,157	96,009		4,814	4,603,229		66,971

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Accumulated Other Comprehensive Earnings (Tables)

3 Months Ended

Apr. 01, 2017

Equity [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]

Accumulated Other Comprehensive Earnings

A reconciliation of the changes in accumulated other comprehensive earnings net of income taxes for the three months ended April 1, 2017 and March 26, 2016 is as follows:

	AFS Securities				Postretirement Benefits			Accumulated Other Comprehensive Earnings
		(Amounts are in thousands)
2017
Balances at December 31, 2016		$	29,118			(5,691	)		23,427
Unrealized gain on AFS securities		38,918				—			38,918
Net realized gain on AFS securities reclassified to investment income		(19,187		)		—			(19,187	)
Net other comprehensive earnings		19,731				—			19,731
Balances at April 1, 2017		$	48,849			(5,691	)		43,158
2016
Balances at December 26, 2015		$	31,295			(5,027	)		26,268
Unrealized gain on AFS securities		10,965				—			10,965
Net realized gain on AFS securities reclassified to investment income		(3,495		)		—			(3,495	)
Net other comprehensive earnings		7,470				—			7,470
Balances at March 26, 2016		$	38,765			(5,027	)		33,738

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Fair Value Measurements for Available for Sale Securities (Detail) - USD ($) $ in Thousands	Apr. 01, 2017	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of available-for-sale securities	$ 7,059,820	$ 6,738,618
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of available-for-sale securities	1,553,295	1,286,625
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of available-for-sale securities	5,506,525	5,451,993
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of available-for-sale securities	$ 0	$ 0

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Available for Sale Securities (Detail) - USD ($) $ in Thousands	Apr. 01, 2017	Dec. 31, 2016
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 6,980,186	$ 6,691,140
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	120,904	114,449
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	41,270	66,971
Fair Value	7,059,820	6,738,618
Tax exempt bonds
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	2,919,378	3,036,060
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	4,964	2,211
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	9,748	24,649
Fair Value	2,914,594	3,013,622
Taxable bonds
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	2,616,734	2,469,192
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	1,530	1,359
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	28,113	33,903
Fair Value	2,590,151	2,436,648
Restricted investments
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	164,548	164,548
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	0	0
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	0	463
Fair Value	164,548	164,085
Equity securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	1,279,526	1,021,340
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	114,410	110,879
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	3,409	7,956
Fair Value	$ 1,390,527	$ 1,124,263

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Investments - Additional Information (Detail)	3 Months Ended
	Apr. 01, 2017 USD ($) AFS_security	Mar. 26, 2016 USD ($)	Dec. 31, 2016 USD ($)
Investments, Debt and Equity Securities [Abstract]
Total realized gains on sales of AFS securities	$ 34,622,000	$ 9,251,000
Total realized losses on sales of AFS securities	$ 3,353,000	$ 3,555,000
Number of AFS securities issues contributing to total unrealized loss | AFS_security	441
Total, unrealized Losses	$ 41,270,000		$ 66,971,000

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Amortized Cost and Fair Value of Available for Sale Securities by Expected Maturity (Detail) - USD ($) $ in Thousands	Apr. 01, 2017	Dec. 31, 2016
Amortized Cost
Due in one year or less	$ 1,597,922	$ 1,592,144
Due after one year through five years	3,133,550	3,218,371
Due after five years through ten years	792,266	680,641
Due after ten years	12,374	14,096
Total	5,536,112	5,505,252
Amortized cost of available-for-sale securities	6,980,186	6,691,140
Fair Value
Due in one year or less	1,597,903	1,591,740
Due after one year through five years	3,117,869	3,187,739
Due after five years through ten years	776,095	656,162
Due after ten years	12,878	14,629
Total	5,504,745	5,450,270
Fair value of available-for-sale securities	7,059,820	6,738,618
Restricted investments
Amortized Cost
Amortized cost of available-for-sale securities	164,548	164,548
Fair Value
Fair value of available-for-sale securities	164,548	164,085
Equity securities
Amortized Cost
Amortized cost of available-for-sale securities	1,279,526	1,021,340
Fair Value
Fair value of available-for-sale securities	$ 1,390,527	$ 1,124,263

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Temporarily Impaired Available for Sale Securities by Time Period Impaired (Detail) - USD ($) $ in Thousands	Apr. 01, 2017	Dec. 31, 2016
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair Value	$ 3,509,726	$ 4,507,220
Less Than 12 Months, Unrealized Losses	37,954	62,157
12 Months or Longer, Fair Value	79,846	96,009
12 Months or Longer, Unrealized Losses	3,316	4,814
Total, Fair Value	3,589,572	4,603,229
Total, Unrealized Losses	41,270	66,971
Tax exempt bonds
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair Value	1,304,761	2,360,143
Less Than 12 Months, Unrealized Losses	8,696	24,416
12 Months or Longer, Fair Value	23,986	6,099
12 Months or Longer, Unrealized Losses	1,052	233
Total, Fair Value	1,328,747	2,366,242
Total, Unrealized Losses	9,748	24,649
Taxable bonds
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair Value	2,041,367	1,921,367
Less Than 12 Months, Unrealized Losses	27,645	33,354
12 Months or Longer, Fair Value	51,806	51,769
12 Months or Longer, Unrealized Losses	468	549
Total, Fair Value	2,093,173	1,973,136
Total, Unrealized Losses	28,113	33,903
Restricted investments
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair Value	0	164,085
Less Than 12 Months, Unrealized Losses	0	463
12 Months or Longer, Fair Value	0	0
12 Months or Longer, Unrealized Losses	0	0
Total, Fair Value	0	164,085
Total, Unrealized Losses	0	463
Equity securities
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair Value	163,598	61,625
Less Than 12 Months, Unrealized Losses	1,613	3,924
12 Months or Longer, Fair Value	4,054	38,141
12 Months or Longer, Unrealized Losses	1,796	4,032
Total, Fair Value	167,652	99,766
Total, Unrealized Losses	$ 3,409	$ 7,956

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Consolidation of Joint Ventures and Long-Term Debt Joint Venture - Additional Information (Details) - USD ($)	Apr. 01, 2017	Dec. 31, 2016
Variable Interest Entity, Consolidated, Carrying Amount, Assets and Liabilities, Net [Abstract]
Variable Interest Entity, Consolidated, Carrying Amount, Assets	$ 109,412,000	$ 102,254,000
Variable Interest Entity, Consolidated, Carrying Amount, Liabilities	$ 53,485,000	$ 53,278,000

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Consolidation of Joint Ventures and Long-Term Debt Long-Term Debt Assumptions, Maturities and Interest Rates (Details) - USD ($)	3 Months Ended
	Apr. 01, 2017	Mar. 26, 2016
Debt Instrument [Line Items]
Loans Assumed	$ 0.00	$ 0.00
JV Loans [Member] | Minimum [Member]
Debt Instrument [Line Items]
Debt Instrument Maturity Month And Year	April 2017
Debt Instrument, Basis Spread on Variable Rate	1.75%
JV Loans [Member] | Maximum [Member]
Debt Instrument [Line Items]
Debt Instrument Maturity Month And Year	January 2021
Debt Instrument, Basis Spread on Variable Rate	2.50%
Shopping Center Loans [Member] | Minimum [Member]
Debt Instrument [Line Items]
Debt Instrument Maturity Month And Year	May 2017
Debt Instrument, Interest Rate, Stated Percentage	3.70%
Shopping Center Loans [Member] | Maximum [Member]
Debt Instrument [Line Items]
Debt Instrument Maturity Month And Year	January 2027
Debt Instrument, Interest Rate, Stated Percentage	7.50%

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Retirement Plan - Additional Information (Detail) - USD ($)	Apr. 01, 2017	Dec. 31, 2016
Compensation and Retirement Disclosure [Abstract]
Distributed shares subject to put option, fair value	$ 598,641,000	$ 425,514,000
ESOP, shares cost	2,885,579,000	2,642,583,000
Common stock related to ESOP	3,484,220,000	3,068,097,000
ESOP shares, fair value	$ 8,499,952,000	$ 8,356,659,000

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Accumulated Other Comprehensive Earnings (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 01, 2017	Mar. 26, 2016
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balances at Beginning of Period	$ 23,427	$ 26,268
Unrealized gain on AFS securities	38,918	10,965
Net realized gain on AFS securities reclassified to investment income	(19,187)	(3,495)
Net other comprehensive earnings	19,731	7,470
Balances at End of Period	43,158	33,738
AFS Securities
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balances at Beginning of Period	29,118	31,295
Unrealized gain on AFS securities	38,918	10,965
Net realized gain on AFS securities reclassified to investment income	(19,187)	(3,495)
Net other comprehensive earnings	19,731	7,470
Balances at End of Period	48,849	38,765
Postretirement Benefits
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balances at Beginning of Period	(5,691)	(5,027)
Net other comprehensive earnings	0	0
Balances at End of Period	$ (5,691)	$ (5,027)

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Subsequent Event (Details) - Subsequent Event [Member] - USD ($)	May 01, 2017	Apr. 14, 2017	Apr. 03, 2017
Subsequent Event [Line Items]
Common Stock, Dividends, Per Share, Declared			$ 0.23
Dividends Payable, Date Declared			Apr. 03, 2017
Dividends Payable, Date to be Paid	May 01, 2017
Dividends Payable, Date of Record		Apr. 14, 2017
Dividends, Common Stock, Cash			$ 176,400,000