Basis of Presentation and Accounting Policies (Policies)

6 Months Ended

Jul. 02, 2022

Basis of Presentation and Accounting Policies

Supplemental Cash Flow Information

Supplemental Cash Flow Information

Non-cash investing activities for the six months ended July 2, 2022, included purchases of property, plant and equipment in accounts payable of $26 million. The following table includes supplemental cash and non-cash information related to leases. Seaboard reports the amortization of right-of-use (“ROU”) assets and changes in operating lease liabilities in other liabilities, exclusive of debt in the condensed consolidated statements of cash flows.

	Six Months Ended
	July 2,		July 3,
(Millions of dollars)	2022		2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	98	$	75
Operating cash flows from finance leases		3		2
Financing cash flows from finance leases		15		5
ROU assets obtained in exchange for new lease liabilities:
Operating leases	$	23	$	84
Finance leases		93		6

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

The change in the carrying amount of goodwill was related to foreign currency exchange differences of $4 million within the Commodity Trading and Milling (“CT&M”) segment. As of July 2, 2022, other intangible assets, included in other non-current assets, were $39 million, net of accumulated amortization of $36 million.

Income Taxes

Income Taxes

Seaboard computes its year-to-date provision for income taxes by applying the estimated annual effective tax rate to year-to-date pre-tax income or loss and adjusts the provision for discrete tax items recorded in the period.