Company: KHC
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0001637459-25-000152
Chunk: 90

Company: Kraft Heinz Co
Filing Date: 2025-07-30
Form: 10-Q
Item: Part I, Item 8
Chunk 90
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 a third party, NewPrinces S.p.A., to sell our infant and specialty food business in Italy for cash consideration of approximately $140 million (the “Italy Infant Transaction”). The net assets to be transferred in the Italy Infant Transaction include, among other things, our intellectual property rights to the Plasmon and Nipiol brands and one manufacturing facility in Italy. We are currently evaluating the financial statement impacts of the Italy Infant Transaction. We expect that the related assets and liabilities will be classified as held for sale on our condensed consolidated balance sheet beginning in the third quarter of 2025. The Italy Infant Transaction is expected to close in the first quarter of 2026, subject to customary closing conditions, including regulatory approvals.

Note 5.  Restructuring Activities

See our consolidated financial statements and related notes in our Annual Report on Form 10-K for the year ended December 28, 2024 for additional information on our restructuring activities.

7

Restructuring Activities:We have restructuring programs globally, which are focused primarily on streamlining our organizational design. For the six months ended June 28, 2025, we eliminated approximately 525 positions related to these programs. As of June 28, 2025, we expect to eliminate approximately 200 additional positions during the remainder of 2025. For the three months ended June 28, 2025, restructuring activities resulted in net expenses of $10 million and included a net expense of $14 million of other restructuring costs, a net benefit of $3 million of other exit costs, and a net benefit of $1 million of severance and employee benefit costs For the six months ended June 28, 2025, restructuring activities resulted in net expenses of $14 million and included a net expense of $14 million of other restructuring costs, a net expense of $3 million of severance and employee benefit costs, and a net benefit of $3 million of other exit costs. Restructuring activities resulted in a net expense of $2 million for the three months and a net benefit of $1 million for the six months ended June 29, 2024.Our net liability balance for restructuring project costs that qualify as exit and disposal costs under U.S. GAAP was (in millions):Severance and Employee Benefit CostsOther Exit CostsTotalBalance at December 28, 2024$29 $11 $40 Charges/(credits)3 (3)— Cash payments(21)(5)(26)Balance at June