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EQUITY Equity (Tables)
 12 Months Ended
Jan. 03, 2016
Equity [Abstract]  
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]
Stock-Based Compensation
During 2014, WH Group adopted a share incentive plan to provide incentives to various executives and management of WH Group and its subsidiaries (the WH Group Incentive Plan). The WH Group stock trades on the Stock Exchange of Hong Kong Limited.
In 2014, 160,500,000 stock options were granted to Smithfield executives and management under the WH Group Incentive Plan. Stock options granted under the WH Group Incentive Plan are subject to graded vesting over five years and were valued in five separate tranches, according to the expected life of each tranche. No stock options were granted in 2015. We recognized $17.6 million and $9.2 million of compensation expense for the stock options in 2015 and 2014, respectively. The related income tax benefit recognized was $6.4 million and $3.4 million in 2015 and 2014, respectively. There was no compensation expense capitalized as part of inventory or fixed assets in 2015 nor 2014.
The fair value of each option granted was estimated on the date of grant using a binomial option pricing model. The expected annual volatility was based on the historical volatility of comparable companies. The following table summarizes the assumptions made in determining the fair value of stock options granted in 2014(1):
Expected annual volatility
 
 
 
42
%
Dividend yield
 
 
 
—
%
Risk free interest rate
 
 
 
2.06
%
Expected option life (years)
 
 
 
3.5

——————————————
(1) 
The options granted in 2014 were valued in separate tranches according to the expected life of each tranche. The above table reflects the weighted average risk free interest rate and expected option life of each tranche. The expected dividend yield was the same for all options granted in 2014.
Schedule of Nonvested Performance-based Units Activity [Table Text Block]
The following table summarizes stock option activity under the WH Group Incentive Plan as of January 3, 2016, and changes during the year then ended: 
 
 
Number of Shares
 
Weighted Average Exercise Price (HKD)
 
Weighted Average Exercise Price (USD)
 
Weighted Average Remaining Contractual Term (Years)
 
Aggregate Intrinsic Value
(HKD)
 
Aggregate Intrinsic Value
(USD)
 
 
 
 
 
 
 
 
 
 
 (in millions)
Outstanding as of December 28, 2014
 
151,400,000

 
$
6.20

 
$
0.80

 
 
 
$
—

 
$
—

Forfeited
 
(3,329,833
)
 
$
6.20

 
$
0.80

 
 
 
 
 
 
Outstanding as of January 3, 2016
 
148,070,167

 
$
6.20

 
$
0.80

 
8.6

 
$
—

 
$
—

Exercisable as of January 3, 2016
 
14,807,017

 
$
6.20

 
$
0.80

 
8.6

 
$
—

 
$
—

The weighted average grant-date fair value of options granted during 2014 was $0.42 USD ($3.22 HKD). As of January 3, 2016, there was $23.1 million of total unrecognized compensation cost related to nonvested stock options granted under the WH Group Incentive Plan. That cost is expected to be recognized over a weighted average period of 2.4 years.
During the twelve months ended May 3, 2009, we adopted the 2008 Incentive Compensation Plan (the Incentive Plan), which replaced the 1998 Stock Incentive Plan and provided for the issuance of non-statutory stock options and other awards to employees, non-employee directors and consultants.
Upon completion of the Merger, all then-outstanding stock-based compensation awards, whether vested or unvested, were converted into the right to receive the Merger Consideration, less the exercise price of such awards, if any. As a result, we made aggregate cash payments totaling $82.1 million to plan participants following the Merger, which were included as a component of the purchase price consideration. The Incentive Plan was discontinued as a result of the Merger. Stock-based compensation expense was $2.0 million and $8.4 million for the five months ended September 26, 2013 and the twelve months ended April 28, 2013, respectively. The related income tax benefits recognized were $0.4 million and $1.8 million for the five months ended September 26, 2013 and the twelve months ended April 28, 2013, respectively. There was no compensation expense capitalized as part of inventory or fixed assets during the five months ended September 26, 2013 nor the twelve months ended April 28, 2013.
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]
Accumulated Other Comprehensive Income (Loss)
Accumulated other comprehensive income (loss) consists of the following:
 
 
January 3,
2016
 
December 28,
2014
 
December 29,
2013
 
 
(in millions)
Foreign currency translation
 
$
(216.2
)
 
$
(127.4
)
 
$
27.3

Pension accounting
 
(141.1
)
 
(117.6
)
 
14.6

Hedge accounting
 
(20.4
)
 
26.4

 
(2.9
)
Accumulated other comprehensive income (loss)
 
$
(377.7
)
 
$
(218.6
)
 
$
39.0
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block]
he following tables present changes in the accumulated balances for each component of other comprehensive income (loss) and the related effects on net income of amounts reclassified out of other comprehensive income (loss):
 
 
Successor
 
 
Twelve Months Ended
 
 
January 3, 2016
 
December 28, 2014
 
 
Before Tax
 
Tax
 
After Tax
 
Before Tax
 
Tax
 
After Tax
 
 
(in millions)
Foreign currency translation:
 
 
 
 
 
 
 
 
 
 
 
 
Translation loss
 
$
(137.0
)
 
$
12.7

 
$
(124.3
)
 
$
(167.5
)
 
$
12.8

 
$
(154.7
)
Translation losses reclassified to non-operating (gain) loss
 
54.6

 
(19.1
)
 
35.5

 
$
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
 
Pension accounting:
 
 
 
 
 
 
 
 
 
 
 
 
Actuarial gain (loss)
 
(57.8
)
 
22.5

 
(35.3
)
 
(217.5
)
 
83.3

 
(134.2
)
Prior Service Cost
 
15.2

 
(5.8
)
 
9.4

 
—

 
—

 
—

Amortization of actuarial losses and prior service credits reclassified to cost of sales
 
1.6

 
(0.5
)
 
1.1

 
1.0

 
(0.4
)
 
0.6

Amortization of actuarial losses and prior service credits reclassified to SG&A
 
2.0

 
(0.7
)
 
1.3

 
2.3

 
(0.9
)
 
1.4

 
 
 
 
 
 
 
 
 
 
 
 
 
Hedge accounting:
 
 
 
 
 
 
 
 
 
 
 
 
Gains (losses) arising during the period
 
108.7

 
(43.0
)
 
65.7

 
(166.3
)
 
65.2

 
(101.1
)
(Gains) losses reclassified to sales
 
(255.9
)
 
100.0

 
(155.9
)
 
215.8

 
(84.4
)
 
131.4

(Gains) losses reclassified to cost of sales
 
71.1

 
(27.7
)
 
43.4

 
(1.7
)
 
0.7

 
(1.0
)
Total other comprehensive income (loss)
 
$
(197.5
)
 
$
38.4

 
$
(159.1
)
 
$
(333.9
)
 
$
76.3

 
$
(257.6
)
 
 
Successor
 
Predecessor
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Twelve Months Ended
 
 
September 27 - December 29, 2013
 
April 29 - September 26, 2013
 
April 28, 2013
 
 
Before Tax
 
Tax
 
After Tax
 
Before Tax
 
Tax
 
After Tax
 
Before Tax
 
Tax
 
After Tax
 
 
(in millions)
Foreign currency translation:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Translation gain (loss)
 
$
29.6

 
$
(2.3
)
 
$
27.3

 
$
23.3

 
$
(6.4
)
 
$
16.9

 
$
(12.5
)
 
$
1.4

 
$
(11.1
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Pension accounting:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amortization of actuarial losses and prior service credits reclassified to cost of sales
 
8.5

 
(3.3
)
 
5.2

 
7.4

 
(2.9
)
 
4.5

 
(12.3
)
 
4.8

 
(7.5
)
Amortization of actuarial losses and prior service credits reclassified to SG&A
 
15.2

 
(5.8
)
 
9.4

 
17.4

 
(6.8
)
 
10.6

 
(28.8
)
 
11.1

 
(17.7
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Hedge accounting:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gains (losses) arising during the period
 
(2.3
)
 
0.9

 
(1.4
)
 
(26.6
)
 
10.3

 
(16.3
)
 
53.3

 
(20.8
)
 
32.5

Losses reclassified to sales
 
(3.0
)
 
1.2

 
(1.8
)
 
(5.9
)
 
2.3

 
(3.6
)
 
(54.9
)
 
21.4

 
(33.5
)
(Gains) losses reclassified to cost of sales
 
0.9

 
(0.4
)
 
0.5

 
(23.6
)
 
9.2

 
(14.4
)
 
(108.4
)
 
42.1

 
(66.3
)
(Gains) losses reclassified to SG&A
 
(0.3
)
 
0.1

 
(0.2
)
 
0.3

 
—

 
0.3

 
(2.1
)
 
0.4

 
(1.7
)
Total other comprehensive income (loss)
 
$
48.6

 
$
(9.6
)
 
$
39.0

 
$
(7.7
)
 
$
5.7

 
$
(2.0
)
 
$
(165.7
)
 
$
60.4

 
$
(105.3
)