What was the present value of unfunded defined benefits for Bimbo Foods Bakeries Distribution in 2024?
Bimbo_Foods_Bakeries_Distribution Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Present value of defined benefit obligation | $28,382 | $27,163 | $27,465 |
| Less-fair value of planassets | 26,684 | 24,788 | 24,413 |
| 1,698 | 2,375 | 3,052 | |
| Plus-Retirement benefits for Latin America | |||
| and EAA | 541 | 434 | 479 |
| Plus–Pension net assets | 120 | 97 | 79 |
| Less -Current portion of retirement benefits | |||
| recognized in accrued liabilities | (127) | (119) | (124) |
| Present value of unfunded defined benefits | $2,232 | $2,787 | $3,486 |
Source: Item 14 — Other Accounts Payable and Accrued Liabilities (FDD pages 312–476)
What This Means (2025 FDD)
According to Bimbo Foods Bakeries Distribution's 2025 Franchise Disclosure Document, the present value of unfunded defined benefits in 2024 was $2,232. This figure represents the company's financial obligation for retirement benefits that are not covered by plan assets. It is calculated by starting with the present value of the defined benefit obligation ($28,382), subtracting the fair value of plan assets ($26,684), adding retirement benefits for Latin America and EAA ($541), adding pension net assets ($120), and subtracting the current portion of retirement benefits recognized in accrued liabilities ($127).
For a prospective franchisee, this information provides insight into Bimbo Foods Bakeries Distribution's financial health and its approach to employee benefits. While franchisees are not directly responsible for these corporate-level obligations, understanding the company's overall financial commitments can be useful. Defined benefit plans are a long-term liability for the company, and the unfunded portion represents a potential future expense.
It's important to note that this is just one aspect of the company's overall financial picture. A potential franchisee should review the entire FDD and consult with a financial advisor to gain a comprehensive understanding of Bimbo Foods Bakeries Distribution's financial condition and its potential impact on the franchise business. Understanding the stability and financial practices of the franchisor is a key part of due diligence.