Sales of Accounts Receivable

6 Months Ended

Jun. 26, 2021

Receivables [Abstract]

Sales of Accounts Receivable

3. Sales of Accounts Receivable

We have entered 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 the related accounts receivable were removed from our Condensed Consolidated Balance Sheet at the times of the sales transactions. Under these agreements, we sold $433.7 million and $496.4 million of accounts receivable during the six months ended June 26, 2021 and June 27, 2020, respectively. All credit terms with our customers are 365 days or less. Selling, general and administrative expenses include financing costs associated with these accounts receivable sales programs of $2.9 million and $6.8 million during the three months ended June 26, 2021 and June 27, 2020, respectively, and $5.5 million and $9.6 million during the six months ended June 26, 2021 and June 27, 2020, respectively.