Company: KHC
Filing Date: 2025-10-29
Form Type: 10-Q
Source: 0001637459-25-000166
Chunk: 106

Company: Kraft Heinz Co
Filing Date: 2025-10-29
Form: 10-Q
Item: Part I, Item 8
Chunk 106
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 expense of $9 million of severance and employee benefit costs, and a net benefit of $3 million of other exit costs. Restructuring activities resulted in income of $7 million for the three months and $8 million for the nine months ended September 28, 2024.

9

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)9 (3)6 Cash payments(28)(6)(34)Balance at September 27, 2025$10 $2 $12 We expect the majority of the liability for severance and employee benefit costs as of September 27, 2025 to be paid by the end of 2025. The liability for other exit costs primarily relates to lease obligations. The cash impact of these obligations will continue for the duration of the lease terms, which expire in 2026.Total Expenses/(Income):Total expense/(income) related to restructuring activities, by income statement caption, were (in millions):For the Three Months EndedFor the Nine Months EndedSeptember 27, 2025September 28, 2024September 27, 2025September 28, 2024Severance and employee benefit costs - Cost of products sold$2 $(1)$1 $(1)Severance and employee benefit costs - SG&A4 — 8 (5)Severance and employee benefit costs - Other expense/(income)— — — (1)Other costs - Cost of products sold— 1 — 3 Other costs - SG&A— — 1 3 Other costs - Other expense/(income)(2)(7)8 (7)$4 $(7)$18 $(8)We do not include our restructuring activities within Segment Adjusted Operating Income (as defined in Note 17, Segment Reporting). The pre-tax impact of allocating such expenses/(income) to our segments would have been (in millions):For the Three Months EndedFor the Nine Months Ended September 27, 2025September 28, 2024September 27, 2025September 28, 2024North America$— $— $15 $(1)International Developed Markets4 (8)1 (