Segment Information

6 Months Ended

Jul. 03, 2021

Segment Information

Segment Information

Note 8 – Segment Information

Seaboard has six reportable segments: Pork, CT&M, Marine, Sugar and Alcohol, Power and Turkey, each offering a specific product or service. For details on the respective products or services of each segment, see Note 15 to the consolidated financial statements included in Seaboard’s annual report on Form 10-K for the year ended December 31, 2020.

The following tables present Seaboard’s sales disaggregated by revenue source and segment:

		Three Months Ended July 3, 2021
								Sugar
								and				All		Consolidated
(Millions of dollars)		Pork		CT&M		Marine		Alcohol		Power		Other		Totals
Major Products/Services Lines:
Products	$	596	$	1,374	$	—	$	26	$	—	$	4	$	2,000
Transportation		2		—		319		—		—		—		321
Energy		89		—		—		—		11		—		100
Other		6		3		—		—		—		—		9
Segment/Consolidated Totals	$	693	$	1,377	$	319	$	26	$	11	$	4	$	2,430

		Three Months Ended June 27, 2020
								Sugar
								and				All		Consolidated
(Millions of dollars)		Pork		CT&M		Marine		Alcohol		Power		Other		Totals
Major Products/Services Lines:
Products	$	409	$	1,119	$	—	$	18	$	—	$	3	$	1,549
Transportation		2		—		192		—		—		—		194
Energy		40		—		—		—		13		—		53
Other		8		4		—		—		—		—		12
Segment/Consolidated Totals	$	459	$	1,123	$	192	$	18	$	13	$	3	$	1,808

		Six Months Ended July 3, 2021
								Sugar
								and				All		Consolidated
(Millions of dollars)		Pork		CT&M		Marine		Alcohol		Power		Other		Totals
Major Products/Services Lines:
Products	$	1,091	$	2,520	$	—	$	50	$	—	$	7	$	3,668
Transportation		3		—		619		—		—		1		623
Energy		152		—		—		2		24		—		178
Other		12		8		—		—		—		—		20
Segment/Consolidated Totals	$	1,258	$	2,528	$	619	$	52	$	24	$	8	$	4,489

		Six Months Ended June 27, 2020
								Sugar
								and				All		Consolidated
(Millions of dollars)		Pork		CT&M		Marine		Alcohol		Power		Other		Totals
Major Products/Services Lines:
Products	$	814	$	2,029	$	—	$	39	$	—	$	9	$	2,891
Transportation		4		—		461		—		—		—		465
Energy		80		—		—		1		30		—		111
Other		16		8		—		—		—		—		24
Segment/Consolidated Totals	$	914	$	2,037	$	461	$	40	$	30	$	9	$	3,491

The following tables present Seaboard’s operating income (loss) and income (loss) from affiliates by segment. Operating income (loss) for segment reporting is prepared on the same basis as that used for consolidated operating income. Operating income (loss), along with income or loss from affiliates for the Pork, CT&M and Turkey segments, is used as the measure of evaluating segment performance because management does not consider interest, other investment income (loss) and income tax benefit (expense) on a segment basis. Administrative services provided by the corporate office are allocated to the individual segments and represent corporate services rendered to and costs incurred for each specific segment, with no allocation to individual segments of general corporate management oversight costs.

Operating Income (Loss):	Three Months Ended				Six Months Ended
	July 3,		June 27,		July 3,		June 27,
(Millions of dollars)	2021		2020		2021		2020
Pork	$	129	$	9	$	190	$	41
CT&M		16		24		32		54
Marine		32		(11)		53		(17)
Sugar and Alcohol		(1)		(2)		—		(3)
Power		(5)		(1)		(7)		1
All Other		—		—		1		1
Segment Totals		171		19		269		77
Corporate		(6)		(10)		(12)		(5)
Consolidated Totals	$	165	$	9	$	257	$	72

Income (Loss) from Affiliates:	Three Months Ended				Six Months Ended
	July 3,		June 27,		July 3,		June 27,
(Millions of dollars)	2021		2020		2021		2020
Pork	$	(6)	$	(4)	$	(2)	$	(3)
CT&M		4		—		10		1
Marine		1		1		2		2
Sugar and Alcohol		—		—		—		—
Power		—		—		—		—
Turkey		(4)		(14)		(9)		(21)
Segment/Consolidated Totals	$	(5)	$	(17)	$	1	$	(21)

The following tables present total assets by segment and the investments in and advances to affiliates by segment. Corporate assets primarily include cash and short-term investments, other current assets related to deferred compensation plans, long-term investments and other miscellaneous items. Corporate operating results represent certain operating costs not specifically allocated to individual segments and include costs related to Seaboard’s deferred compensation plans, which are offset by the effect of the mark-to-market adjustments on these investments recorded in other investment income (loss), net.

Total Assets:	July 3,		December 31,
(Millions of dollars)	2021		2020
Pork	$	2,137	$	1,927
CT&M		1,948		1,585
Marine		564		508
Sugar and Alcohol		148		153
Power		329		302
Turkey		255		265
All Other		7		6
Segment Totals		5,388		4,746
Corporate		1,682		1,653
Consolidated Totals	$	7,070	$	6,399

Investments in and Advances to Affiliates:	July 3,		December 31,
(Millions of dollars)	2021		2020
Pork	$	147	$	172
CT&M		228		222
Marine		30		30
Sugar and Alcohol		3		6
Power		3		3
Turkey		255		265
Segment/Consolidated Totals	$	666	$	698

The Turkey segment, accounted for using the equity method, represents Seaboard’s investment in Butterball, LLC (“Butterball”). As of July 3, 2021 and December 31, 2020, Butterball had total assets of $1.2 billion and $993 million, respectively. Butterball’s summarized income statement information was as follows:

	Three Months Ended				Six Months Ended
	July 3,		June 27,		July 3,		June 27,
(Millions of dollars)	2021		2020		2021		2020
Net sales	$	371	$	327	$	712	$	645
Operating loss	$	(4)	$	(24)	$	(20)	$	(31)
Net loss	$	(7)	$	(27)	$	(18)	$	(40)