Company: SYY
Filing Date: 2025-10-29
Form Type: 10-Q
Source: 0000096021-25-000157
Chunk: 33

Company: SYSCO CORP
Filing Date: 2025-10-29
Form: 10-Q
Item: Item 1
Chunk 33
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 no significant credit losses recognized in the first 13 weeks of fiscal 2026. The following table presents our available-for-sale marketable securities as of September 27, 2025 and June 28, 2025:Sep. 27, 2025Amortized Cost BasisGross Unrealized GainsGross Unrealized LossesFair ValueShort-Term Marketable SecuritiesLong-Term Marketable Securities(In millions)Fixed income securities:Corporate bonds$97 $1 $(1)$97 $15 $82 Government bonds29 — (1)28 2 26 Total marketable securities$126 $1 $(2)$125 $17 $108 Jun. 28, 2025Amortized Cost BasisGross Unrealized GainsGross Unrealized LossesFair ValueShort-Term Marketable SecuritiesLong-Term Marketable Securities(In millions)Fixed income securities:Corporate bonds$104 $1 $(1)$104 $15 $89 Government bonds29 — (1)28 — 28 Total marketable securities$133 $1 $(2)$132 $15 $117 As of September 27, 2025, the balance of available-for-sale securities by contractual maturity is shown in the following table. Within the table, maturities of fixed income securities have been allocated based upon timing of estimated cash flows. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties.Sep. 27, 2025(In millions)Due in one year or less$17 Due after one year through five years71 Due after five years 37 Total$125 There were no significant realized gains or losses in marketable securities in the first 13 weeks of fiscal 2026.

6.  DERIVATIVE FINANCIAL INSTRUMENTS

Sysco uses derivative financial instruments to enact hedging strategies for risk mitigation purposes; however, we do not use derivative financial instruments for trading or speculative purposes. Hedging strategies are used to manage interest rate risk, foreign currency risk and fuel price risk. 

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Hedging of interest rate riskSysco manages its debt portfolio with interest rate swaps from time to time to achieve an overall desired position of fixed and floating rates. The interest rate swaps are designated as fair value hedges and gains or losses on the hedges impact interest expense within the