Sales of Accounts Receivable

3 Months Ended

Apr. 01, 2017

Receivables [Abstract]

Sales of Accounts Receivable

3. Sales of Accounts Receivable

We have entered into several customer sponsored programs administered by unrelated financial institutions that permit us to sell certain accounts receivable at discounted rates to the financial institutions. Transactions under these agreements were accounted for as sales of accounts receivable and were removed from our Consolidated Balance Sheet at the time of the sales transactions. Pursuant to these agreements, we sold $146.0 million and $135.2 million of accounts receivable during the thirteen weeks ended April 1, 2017 and March 26, 2016, respectively. If receivables had not been sold, $370.6 million and $338.3 million of additional accounts receivable would have been outstanding at April 1, 2017 and December 31, 2016, respectively, based on standard payment terms. Selling, general and administrative expenses for each of the thirteen weeks ended April 1, 2017 and March 26, 2016 included $2.5 million in financing costs associated with these accounts receivable sales programs.