Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2020

Summary of non-cancelable commitments under contractual obligations



	Years ended December 31,
(Millions of dollars)	2021		2022		2023		2024		2025		Thereafter		Totals
Hog procurement contracts ^(a)	$	99	$	95	$	94	$	92	$	96	$	107	$	583
Grain commitments ^(b)		153		1		—		—		—		—		154
Grain purchase contracts for resale ^(c)		916		—		—		—		—		—		916
Fuel supply contracts ^(d)		28		45		45		46		47		235		446
Construction commitments ^(e)		120		—		—		—		—		—		120
Equipment and other commitments		146		5		3		3		3		25		185
Total unrecognized non-cancelable commitments	$	1,462	$	146	$	142	$	141	$	146	$	367	$	2,404

(a)

The Pork segment has contracted with third parties for the purchase of hogs to support its operations. The amounts are based on projected market prices as of December 31, 2020. During 2020, 2019 and 2018, the Pork segment paid $108 million, $121 million and $77 million, respectively, for hogs purchased under committed contracts.

(b)

The Pork segment enters into grain purchase contracts to support its hog operations. The amounts are based on projected commodity prices as of December 31, 2020.

(c)

The CT&M segment enters into grain purchase contracts, primarily to support firm sales commitments. The amounts are based on projected commodity prices as of December 31, 2020.

(d)

The Power segment has a natural gas supply contract for a significant portion of the fuel required for the barge under construction. The commitment has both fixed and variable price components and the amount included is partially based on market prices as of December 31, 2020. The Marine segment also has fuel purchase contracts.

(e)

The Pork segment’s renewable diesel production facility, expected to be operational in early 2022, has commitments of approximately $100 million. The other amounts are for completion of the barge at the Power segment and other construction projects.