Derivative Financial Instruments (Tables)

3 Months Ended

Dec. 28, 2013

Derivative Financial Instruments

Summary of fair value of derivatives included on Consolidated Balance Sheets

The following table summarizes the fair value of the Company’s derivatives included on the Unaudited Consolidated Balance Sheets (in thousands):

	December 28, 2013			September 28, 2013			Balance Sheet Classification
Derivatives designated as cash flow hedges:
Interest rate swaps	$	(5,431	)	$	(6,004	)	Other current liabilities
Coffee futures	(886		)	—			Other current assets
Coffee futures	—			(3,809		)	Other current liabilities
Foreign currency forward contracts	—			(141		)	Other current liabilities
Foreign currency forward contracts	135			13			Other current assets
	$	(6,182	)	$	(9,941	)
Derivatives not designated as hedges:
Cross currency swap	$	3,308		$	—		Other current assets
Cross currency swap	—			(1,253		)	Other current liabilities
Coffee futures	2,476			—			Other current assets
	$	5,784		$	(1,253	)
Total	$	(398	)	$	(11,194	)

Schedule of offsetting of financial assets and derivative assets

Offsetting of financial assets and derivative assets as of December 28, 2013 and September 28, 2013 is as follows (in thousands):

	Gross amounts		Gross amounts  offset in the			Net amount of  assets presented  in the		Gross amounts not offset in the  Consolidated Balance Sheet
	of recognized  assets		Consolidated  Balance Sheet			Consolidated  Balance Sheet		Financial  instruments		Cash collateral  received		Net amount
Derivative assets, as of December 28, 2013	$	6,321	$	(1,288	)	$	5,033	$	—	$	—	$	5,033
Derivative assets, as of September 28, 2013	13		—			13		—		—		13

Schedule of offsetting of financial liabilities and derivative liabilities

Offsetting of financial liabilities and derivative liabilities as of December 28, 2013 and September 28, 2013 is as follows (in thousands):

	Gross amounts		Gross amounts  offset in the			Net amount of  liabilities  presented in the		Gross amounts not offset in the  Consolidated Balance Sheet
	of recognized  liabilities		Consolidated  Balance Sheet			Consolidated  Balance Sheet		Financial  instruments		Cash collateral  pledged		Net amount
Derivative liabilities, as of December 28, 2013	$	6,719	$	(1,288	)	$	5,431	$	—	$	—	$	5,431
Derivative liabilities, as of September 28, 2013	11,207		—			11,207		—		—		11,207

Summary of gain (loss), gross of tax, on financial instruments that qualify for hedge accounting included in OCI

The following table summarizes the amount of gain (loss), gross of tax, arising during the period on financial instruments that qualify for hedge accounting included in OCI (in thousands):

	Thirteen weeks ended
	December 28, 2013			December 29, 2012
Cash Flow Hedges:
Interest rate swaps	$	574		$	1,032
Coffee futures	(1,400		)	(898		)
Foreign currency forward contracts	195			—
Total	$	(631	)	$	134

Summary of gains (losses), gross of tax, reclassified from OCI to income

The following table summarizes the amount of gains (losses), gross of tax, reclassified from OCI to income (in thousands):

	Thirteen weeks ended
	December 28, 2013			December 29, 2012			Location of Losses Reclassified  from OCI into Income
Coffee futures	$	(206	)	$	(349	)	Cost of sales
Foreign currency forward contracts	(44		)	—			Cost of sales
Foreign currency forward contracts	(25		)	—			Loss on foreign currency, net
Total	$	(275	)	$	(349	)

Schedule of net gains on financial instruments not designated as hedges for accounting purposes

Net gains on financial instruments not designated as hedges for accounting purposes are as follows (in thousands):

	Thirteen weeks ended				Location of net gain in
	December 28,  2013		December 29,  2012		Unaudited Consolidated  Statements of Operations
Net gain on cross currency swap	$	4,561	$	1,104	Gain on financial instruments, net
Net gain on coffee futures	2,125		—		Cost of sales
Total	$	6,686	$	1,104